Euro Cinema Body UNIC Says EU Paramount-Warner Bros. Discovery Deal Approval Conditions “Should Have Gone Further”

The European cinema lobby is pushing back on the European Commission's conditional approval of Paramount's acquisition of Warner Bros. Discovery. UNIC, the International Union of Cinemas representing exhibitors across 39 European territories, says the Brussels regulator didn't impose strict enough requirements on the deal.

The EC greenlit Paramount Skydance's takeover of Warner Bros. Discovery this week, but attached conditions aimed at protecting competition in European markets. UNIC argues those safeguards fall short of what the industry needs to survive consolidation pressures reshaping the entertainment landscape.

Theater chains across Europe face mounting challenges. Streaming giants cannibalize theatrical windows. Production budgets concentrate at fewer studios. A merged Paramount-Warner Bros. Discovery entity commands enormous output, from theatrical releases to HBO Max programming. UNIC worries that without tougher commitments, European cinemas lose negotiating leverage over release schedules, theatrical exclusivity windows, and revenue splits.

The organization represents smaller and mid-sized exhibitors who depend on consistent film supply from major studios. When two of Hollywood's six traditional majors combine, theater operators fear diminished choice and worse terms. They need guarantees about film availability and windowing practices to survive.

UNIC didn't specify which conditions should have been stricter, but European regulatory bodies typically scrutinize mergers for commitments around content diversity and fair licensing terms. The cinema body likely wanted explicit mandates on theatrical window lengths or obligations to supply non-tentpole films to independent chains.

This tension reflects a broader European stance on Big Tech and media consolidation. Brussels takes competition seriously, particularly protecting smaller competitors and cultural diversity. Hollywood, however, operates on global scale economics where consolidation improves efficiency and funding capacity.

The EC's approval signals acceptance of the deal despite these concerns. But UNIC's dissent highlights friction between studio economics and exhibitor survival.