Last month, Paramount Skydance CEO and Trump ally David Ellison threatened to relocate the company out of California in response to his ongoing legal battle with California Attorney General Rob Bonta, who is suing, along with 12 other states, aiming to block the $110 billion Warner Bros. Discovery takeover. The threat was first reported by Semafor. Now, Bonta has responded.

“Paramount agreed to halt the merger until a court decision or until June 2027, asked for a November trial, and is now back with another attempt to blackmail the state into letting an illegal deal through,” Bonta wrote on X. “Paramount has lost the plot as it continues to lose in court. It didn’t work the first time … and it won’t work this time.”

If Paramount were to move its HQ, it would likely happen before Oct. 1, when “Paramount will start accruing a $7-million-per-day ‘ticking fee’ payable to WBD shareholders until the deal closes,” according to Variety. Which state will it be? That’s not clear yet, but presumably it wouldn’t be any of the dozen states suing the company, which include Arizona, Colorado, Connecticut, Massachusetts, Minnesota, Nevada, New Jersey, New Mexico, New York, Oregon and Washington. Ellison’s shortlist reportedly includes Georgia, Texas and Tennessee.

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The Warner Bros. Discovery takeover has been steeped in controversy since the beginning. Recently, a pair of government watchdog groups demanded investigations into whether Paramount gifted luxury gala tickets to Federal Communications Commission members, thus violating ethics requirements, while the company sought approval for its acquisition. 

In a span of weeks, Paramount agreed to halt the merger until a court decision or until June 2027, asked for a November trial, and is now back with another attempt to blackmail the state into letting an illegal deal through.

Paramount has lost the plot as it continues to lose…

— Rob Bonta (@AGRobBonta) August 11, 2026

Ellison has been a major Trump acolyte in the president’s second term. After the Trump administration approved Skydance’s takeover of Paramount in 2025, Ellison hand-picked political commentator Bari Weiss as editor-in-chief of CBS News, sparking months of controversy as viewership has cratered and stories related to the Epstein files and immigration were spiked.