What's Going On With Paramount Global's Shares On Tuesday?

Mass media and entertainment conglomerate Paramount Global (NASDAQ:PARA) shares are trading higher today.

Skydance Media CEO David Ellison outlined a transformative vision for Paramount, positioning the company as a technology-media hybrid amid rising competition from tech giants entering the entertainment sector.

In an hour-long presentation to investors following the announcement of a merger agreement with Paramount, Ellison cited Steve Jobs as a mentor who shaped his perspective on integrating art and technology.

“The art challenges the technology and the technology challenges the art,” Ellison said, reflecting Jobs' influence, reported Reuters.

The merger aims to adapt Paramount to the evolving market, leveraging Skydance’s expertise in streaming media with Paramount’s historical legacy.

Ellison discussed enhancing the Paramount+ streaming service with advanced algorithmic recommendation engines and improved advertising technology to retain subscribers and attract marketers.

The Skydance CEO proposed the use of artificial intelligence to streamline content creation and improve operational efficiencies.

Also Read: Paramount Technical Signals Point To Potential Upside On Heels Of Skydance Deal

Ellison’s tech background, influenced by his father, Oracle Corp (NYSE:ORCL) co-founder Larry Ellison, factored into the merger decision, emphasizing the importance of tech prowess in modern media.

Ellison detailed Skydance’s collaboration with Oracle to create a cloud-based animation studio, utilized in the production of "Spellbound," an animated film set for release on Netflix Inc (NASDAQ:NFLX) this fall.

This approach significantly increased efficiency and reduced costs. Skydance’s interactive games division, in partnership with Walt Disney (NYSE:DIS) and Marvel, serves as an example for the integration of cutting-edge technology in storytelling and game development.

Jeff Shell, former NBCUniversal Media chief executive, will join the newly merged company as president. Shell praised Ellison’s unique blend of creative and technical skills, asserting that Ellison’s leadership will define Paramount's new identity in the tech-driven entertainment landscape.

Price Action: PARA shares are trading higher by 2.37% at $11.44 at last check Tuesday.

Read Next:

• Paramount Analysts Size Up Merger: Skydance Aims For Earnings, ‘Not A Breakup,’ Redstone Says Content Is King

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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