Warner Bros. Discovery shareholders approved the company's proposed $81 billion sale to Skydance-owned Paramount on Thursday, bringing the mega-merger one step closer to completion. The deal, valued at nearly $111 billion including debt, would create one of Hollywood's largest entertainment conglomerates.

The acquisition would unite major entertainment properties under one roof, combining Warner's HBO Max streaming service, CNN news network, and franchises like Harry Potter with Paramount's CBS network, Top Gun film series, and Paramount+ streaming platform. The merger brings together two of Hollywood's remaining five legacy studios and would join two major streaming services.

Despite shareholder approval, the deal still faces regulatory scrutiny from the U.S. Department of Justice and other agencies. Warner Bros. Discovery expects to close the transaction in the third fiscal quarter, pending these reviews. The path to the merger has been contentious, with Warner initially rebuffing Paramount's advances in favor of a $72 billion deal with Netflix before Paramount ultimately prevailed with a higher offer.

The consolidation has drawn criticism from thousands of entertainment industry professionals who argue it will lead to job losses and reduced choices for filmmakers and audiences. Democratic Senator Cory Booker raised concerns about media concentration, stating the deal affects "who controls news, who controls entertainment, who controls storytelling."

Paramount CEO David Ellison has attempted to address industry concerns by guaranteeing a 45-day theatrical release window and committing to produce 30 films annually between the combined studios. However, regulatory filings indicate the merger will likely result in layoffs and operational downsizing to reduce costs. The deal is also under review by regulators in multiple countries and faces potential challenges from state attorneys general, including California's Rob Bonta.