California and Other States Plan to Sue to Block Paramount's Acquisition of Warner Bros.
"Now Streaming" is The Fly's weekly recap of the stories surrounding the biggest content streamers.PLAYING THIS WEEKEND:Among this weekend's most notable new streaming content is Netflixromantic drama series "Sweet Magnolias," starring JoAnna Garcia Swisher, Brooke Elliott, and Heather Headley. Meanwhile, Amazon Prime Videosubscribers can catch romantic drama series "Every Year After," based on the book by Carley Fortune.PARAMOUNT/WARNER BROS.:California, New York, as well as other U.S. states are preparing to file a lawsuit to block Paramount Skydance'sacquisition of Warner Bros. Discovery, Jody Godoy of Reuters reported this past weekend, citing sources familiar with the matter. The lawsuit is expected to be filed within the next few weeks, and it is not yet clear which other states will join the lawsuit, the sources added. Meanwhile, Paramount Skydance has privately told the office California Attorney General Rob Bonta that the company is willing to address the state's concerns and has submitted a list of concessions it's willing to make to resolve an antitrust investigation by California and other states into the deal, people familiar with the matter told Bloomberg's Josh Sisco and Leah Nylen.Internationally, the U.K.'s Competition and Markets Authority said this week that it has opened an investigation into the proposed transaction. "The Competition and Markets Authority hereby gives notice pursuant to section 96(2A) of the Enterprise Act 2002 that the merger notice provided by Paramount Skydance Corporation in relation to the anticipated acquisition by Paramount of Warner Bros. Discovery, Inc. meets the requirements of section 96(2) of the Act," the CMA said. "The initial period defined in section 34ZA(3) of the Act in relation to the Transaction will therefore commence on the first working day after the date of this notice, ie on 10 June 2026. The deadline for the CMA to announce its decision whether to refer the Merger for a phase 2 investigation is therefore 7 August 2026." Meanwhile, the Australian Competition and Consumer Commission published its decision that the merger may be consummated, subject to expiration of a 14-calendar day waiting period.FOX/NFL:Fox Corporationand the NFL announced a new multi-year agreement to bring football to FOX platforms in Mexico. Starting with the 2026 season, viewers in Mexico will be able to experience NFL content including live games, together with original production and specialized content designed to accompany them throughout the entire season. In addition to live games, FOX will complement its coverage with four weekly original programs dedicated to the NFL, developed especially to connect with fans in Mexico, including two editions of a fantasy football-focused show every week. These series will seek to expand the conversation around the League with analysis, entertainment, current events and formats created to accompany Mexican audiences beyond gameday.NETFLIX CHAIRMAN:According to a regulatory filing, on May 29, 2026, the Board of Directors of Netflix appointed Jay Hoag to serve as the Chairman of the Board, effective as of the conclusion of the Annual Meeting. Hoag previously served as the Board's Lead Independent Director since 2012 and currently serves as the chair of the Nominating and Governance Committee. The Board determined it will no longer need a separate Lead Independent Director, as Hoag is an independent director under the applicable rules of the Securities and Exchange Commission and the listing standards of the Nasdaq Stock Market.FUBO/NBCU:FuboTVannounced a distribution agreement with NBCUniversal. Starting Wednesday, Fubo customers can stream NBCUniversal's Spanish-language networks, Telemundo and Universo, with NBCU's English-language networks, including the new NBC Sports Network, regional sports networks and new FAST channels, to launch in the coming weeks. "We're thrilled to announce the return of NBCUniversal networks to Fubo, given their robust portfolio of top-tier sports, entertainment and news," said Todd Mathers, executive vice president, content strategy and acquisition, Fubo. "Our agreement with NBCUniversal underscores Fubo's promise to bring consumers more programming, value and choice through multiple packaging options."COMCAST INITIATION:On Friday, Freedom Broker initiated coverage of Comcast with a Hold rating and $29 price target. Comcast remains the largest U.S. broadband provider, the analyst tells investors in a research note. The firm says a broadband pricing reset will pressure the company's near-term average revenue per use and EBITDA but could stabilize churn and rebuild lifetime value over 12 - 18 months. The firm believes Comcast's "strong assets are offset by limited earnings visibility."ROKU PRICE TARGETS:This week, Guggenheim raised the firm's price target on Rokuto $145 from $140 and maintained a Buy rating on the shares. The firm believes consensus estimates implying 2026 as the peak Platform revenue growth year underappreciate the runway of multiple initiatives that remain in early stages, the analyst tells investors.Meanwhile, Evercore ISI raised the firm's price target on Roku to $185 from $160 and kept an Outperform rating on the shares. Roku is poised for notable growth with the rollout of its new home screen, which is expected to significantly enhance advertising opportunities, the analyst tells investors. The firm cites a "substantial" 17% increase in its FY27 EBITDA estimate to a "Street-high" of $1.01B for its increased price target.STOCK PLAYS:Other publicly traded companies in the space include Disney, Apple, and AMC Networks.
