WBD Acquisition by Paramount: Reshaping Canada's TV Landscape

The acquisition of Warner Bros. Discovery (WBD) by Paramount has initiated significant changes within the Canadian television landscape, particularly for streaming services and content licensing agreements.

Potential Service Merger

Paramount's David Ellison has indicated a possible merger of HBO Max and Paramount+ into a single streaming platform following the WBD acquisition. This prospect could further empower U.S. streaming entities like Netflix, Prime Video, and Disney+ in Canada.

This potential merger could further sideline local broadcasters who rely on American content for profitability.

Impact on Bell Media and Crave

HBO Max and Comcast's Peacock have historically licensed content to Canadian broadcasters rather than launching direct-to-consumer services. Bell Media currently holds a long-term program supply agreement with WBD, enabling HBO Max and HBO content to be featured on its Crave streaming platform.

However, the WBD acquisition by Paramount introduces uncertainty regarding the renewal of this agreement. Bell Media stated that Crave "remains home of HBO and HBO Max programming in Canada through a long-term deal with Warner Bros. Discovery for the foreseeable future," without specifying the agreement's exact duration.

Impact on Rogers Sports and Media

Rogers Sports and Media secured a multiyear deal with WBD, effective January 1, 2025, to obtain Canadian rights for lifestyle and factual channel brands such as HGTV, Food Network, and OWN. These properties were previously held by Bell Media and Corus Entertainment. Rogers will distribute these channels and programming across Canadian cable TV providers, Citytv+, and Discovery+.

Broader Market Implications

U.S. streaming services are increasingly dominating Canadian TV ad revenue and viewership. A potential combination of HBO Max and Paramount+ could accelerate this trend.

This situation challenges Canadian broadcasters to manage their customer bases amidst cord-cutting and evolving viewership habits.

There is no information yet on the impact of the WBD merger on Corus Entertainment's deal with the Paramount-owned Pluto TV streaming service.