• by Wayne Friedman , 9 hours ago

New reports say California Attorney General Rob Bonta intends to ask Paramount Skydance executives to consider selling off some cable TV networks to settle the lawsuit around the company's potential $110 billion purchase of Warner Bros. Discovery.

The report came from The Wall Street Journal.

The lawsuit claims the combined marketplace share of cable TV networks will give the company a 27% share of all cable affiliate fee revenue and 34% of cable TV viewership. 

Those networks -- estimated to be more than 45 primary channels -- include brands such as CNN, TNT, TBS, Paramount Network, MTV, VH1, HGTV, among others.

The lawsuit, filed by 12 state attorneys general, says this represents too much concentration of marketplace power, which can restrict competition.

Additionally, the lawsuit also says that the combined company will also have more than a 27% market share of wide-release theatrical films.

Meanwhile, on Monday, Bonta, the leading state AG for the lawsuit, said he was canceling a scheduled meeting, alleging Paramount leaked the "substance of settlement discussions.”

He added: “They misrepresented these discussions, demonstrating a lack of good faith.. As soon as Paramount stops playing games and engages sincerely, my office is happy to meet again."