Paramount Global and President Donald Trump are in “advanced, settlement negotiations” to resolve a $20 billion lawsuit, jointly asking a court to pause proceedings as the media giant pushes to finalize a merger with Skydance Media. The move signals a potential end to a high-stakes legal battle that has roiled CBS News and put its parent company under immense political pressure.
The price of peace: The lawsuit alleges CBS’s 60 Minutes “deceitfully” edited a pre-election interview with Kamala Harris, with Trump’s legal team arguing the broadcast amounted to commercial speech that harmed his businesses. While Trump sought $20 billion, a mediator reportedly floated a $20 million settlement. Paramount has consistently called the suit a “meritless assault on the First Amendment” and has been fighting for its dismissal.
A civil war at CBS: A potential settlement has ignited a firestorm within the news division. The conflict has already prompted the resignations of two top executives: CBS News President Wendy McMahon and longtime 60 Minutes executive producer Bill Owens. In a rare on-air rebuke, 60 Minutes accused its corporate parent of supervising its content in new ways, and correspondents have reportedly sent a letter warning of the reputational damage a deal would cause.
The bottom line: This isn’t just about a lawsuit; it’s a collision between corporate strategy, political pressure, and journalistic integrity. With a multi-billion-dollar merger hanging in the balance and a regulator appointed by the plaintiff, Paramount faces a choice where any outcome is likely to have costly repercussions.
The wider view: This isn’t the first time a major network has settled with Trump; ABC News previously paid $15 million to resolve a defamation suit. The current situation has drawn scrutiny from Capitol Hill, with Senate Democrats warning Paramount that settling the case to smooth the merger could risk violating bribery laws. Meanwhile, the Trump-appointed FCC chair, Brendan Carr, previously took the step of reinstating a complaint over the same 60 Minutes interview, adding another layer of complexity to the regulatory review.
