California Governor Gavin Newsom has publicly signalled his support for settlement talks in the antitrust case seeking to block the merger of Paramount and Warner Bros. Discovery, saying he would welcome a deal being reached outside the courtroom. His comments, made at a press appearance in San Francisco, mark the first time he has gone on record about the merger, after previously being reported as privately urging a resolution over concerns about the impact on Californian jobs.

Newsom said settlement discussions were unfolding "in real time," echoing earlier remarks by California Attorney General Rob Bonta, who is leading a coalition of 12 states suing to block the deal and has said he would prefer it "settled in the boardroom, not the courtroom." Newsom also addressed a threat from Paramount Skydance chief executive David Ellison to relocate one or two major studios out of California if the suit is not resolved by October, saying he took it "seriously" though did not believe it was in the company's interest. His position aligns him with Democratic gubernatorial candidate Xavier Becerra and Los Angeles Mayor Karen Bass, both of whom have called for the parties to reach common ground.