David Ellison's strategic maneuvers in the Hollywood landscape are a fascinating display of corporate influence and political manipulation. The initial appearance of a simple merger support from Ari Emanuel, a Hollywood agency mogul, was a clever ploy to isolate the dozen Democratic AGs suing to block the deal. By extolling the virtues of the Paramount-Warner Bros. tie-up, Ellison aimed to paint the AGs as regulatory crazies, despite their decades of experience and independent authority. The timing of this support was crucial, coming at a time when Wall Street was closely watching and could potentially express financial concerns about the deal falling through. However, the true strategy became evident when Ellison's support started to resemble an active plan. He used the support of prominent figures like California Governor Gavin Newsom, who has a history of deferring to giant corporations, to create a narrative that the merger would benefit state employment, despite no credible evidence to support this claim. The deal's timing also aligned with Ellison's AI investments, raising questions about the sustainability of this boom. Ellison's op-ed in The New York Times further emphasized his commitment to the merger, using the noun 'work' four times, which is four times more than he used the noun 'Donald Trump'. The op-ed also highlighted the potential job losses in Los Angeles County if the deal goes through, a stark contrast to the positive narrative being spun. Ellison's team has been effective in landing media hits, using CNBC and other platforms to rattle off talking points and praise the mogul. The strategy also involved a literal plane, with Ellison jetting to Washington to lobby for a federal tax credit, a move meant to win over Hollywood and legislators alike. However, the deal faces challenges, including the WGA's lawsuit to stop the merger and the potential for a major settlement, possibly even carving out CNN. The reality is that Ellison's team has executed a shrewd flyer, but the outcome remains uncertain, with the AGs having the leverage and the law on their side. The battle for control of CNN and the future of the entertainment industry hangs in the balance.
