Euro Cinema Body UNIC Says EU Paramount-Warner Bros. Discovery Deal Approval Conditions “Should Have Gone Further”

The International Union of Cinemas has criticized the European Commission's decision to greenlight Paramount's acquisition of Warner Bros. Discovery, arguing the regulatory body failed to impose sufficiently stringent conditions on the merger.

UNIC, the Brussels-based trade organization representing cinema exhibitors across 39 European territories, issued its rebuke after the EC announced approval of the deal Wednesday. The union contends that the conditions attached to the Commission's blessing do not adequately protect European theaters from the consolidated market power that would result from combining two major studios and distributors.

The complaint reflects deepening anxiety within the exhibition sector over industry consolidation. When fewer studios control film distribution pipelines, exhibitors face diminished negotiating leverage over theatrical release windows, revenue splits, and content availability. European cinemas depend on reliable access to major releases, and a merged Paramount-Warner Bros. Discovery entity would wield substantially more control over that supply.

The Commission imposed remedies before approval, but UNIC's statement suggests these measures fall short of meaningful protection. The union likely sought stronger guarantees around windowing requirements, licensing terms for independent theaters, and provisions ensuring diverse content reaches European screens alongside tentpole franchises from the combined entity.

This regulatory tension mirrors ongoing debates in the U.S., where exhibitors have expressed similar concerns about studio consolidation and streaming's impact on theatrical releases. Europe's fragmented market, with distinct national regulations and language requirements, creates both complexity and opportunity for protectionist measures that the Commission apparently chose not to implement fully.

UNIC's criticism carries weight with European policymakers who prioritize cultural diversity and market pluralism. The union's 39-territory footprint represents thousands of screens dependent on sustainable theatrical distribution. Whether the group pursues further action through EU channels or accepts the Commission's decision remains unclear, but the statement signals ongoing resistance to consolidation within European cinema infrastructure.