The Collapse of Hollywood Continues As Paramount Exits California

In a major blow to Los Angeles and the state of California, Paramount announced it’s leaving the state. This move isn’t really a surprise to those who have been paying attention, of course. Back at the end of August, Townhall reported on the war between California Attorney General Rob Bonta and 12 states that moved to block the merger. They cited concerns about “reduction in competition” and the “quality of cinema.”

Paramount Skydance head David Ellison warned Bonta that his company would leave California by October 1 unless progress was made towards settling that antitrust lawsuit. It was easy to see why, because starting October 1, the studio shareholders would be charged a $7 million per day “ticking fee.”

On August 24, Bonta appeared to call Ellison’s bluff and canceled a settlement meeting with Paramount. And it looks like Bonta lost.

🚨 EXCLUSIVE: Paramount to leave California, according to the L.A. Mayor’s office and the California Attorney General’s office.

What we know: https://t.co/X3Qv5CAVDL pic.twitter.com/1vWZS5AXVb

— TMZ (@TMZ) September 16, 2026

Here’s more:

Internal discussions in the Los Angeles Mayor’s Office and the California Attorney General’s Office were told Paramount would announce it was leaving California, but there’s a twist … sources tell TMZ.

We’re told the Mayor and the A.G. were told the announcement would come yesterday, but it did not happen. We do not know if circumstances changed or if there was just a delay.

As you probably know, the California Attorney General — other with 11 other state attorneys general — have filed an anti-trust lawsuit against Paramount, trying to block the Warner Bros merger.

David Ellison, the CEO of Paramount, has threatened to move the studio to Texas, Tennessee or Georgia if the Cali A.G. didn’t back off and settle.

There were settlement negotiations over the last few months, but they couldn’t reach a deal. Attorney General Rob Bonta said Paramount was being unreasonable.

Paramount holds all the cards here. Warner Bros. Discovery is failing, and it will either fold entirely or merge with Paramount.

I tried to warn you. LA is getting absolutely decimated by the insane communist wackos running California. Bob Bonta’s jihad against Paramount is a death blow. What a corrupt piece of s**t. https://t.co/gbad5h2K0E

— Spencer Pratt (@spencerpratt) September 16, 2026

Hollywood’s problems are much deeper than Paramount. The Democrats and their union allies have imposed onerous rules on the film industry that make producing movies and shows in the state insanely expensive and tedious. Make no mistake, it’s all self-inflicted and our sympathies are limited.

But this was a long time coming, and it seems the Democrats won’t learn their lesson, even if Karen Bass says she’ll continue to engage with Paramount.

I will continue to engage with Paramount, Attorney General Bonta, and entertainment leaders to keep jobs in LA.

This industry was built here. Its workers are here. I’m going to fight like hell to keep it here. https://t.co/1hKDUHGKMi

— Karen Bass (@KarenBassLA) September 17, 2026

But Bass will fail, and no one feels sorry for her, Los Angeles, or the Democrats.

California f***ed around, and now they’re finding out. This is the beginning of the breakup of Hollywood. https://t.co/wNX034Y59p

— The Critical Drinker (@TheCriticalDri2) September 16, 2026

Hollywood will turn into West Detroit.

And with it, California will collapse, too.

Hollywood as we know it, is over. And Los Angeles, and California for that matter, will continue the most rapid decline in modern history. https://t.co/L3lul20nZX

— Chris Gore (@ThatChrisGore) September 16, 2026

Good work, Gavin Newsom.

Stop voting for politicians like @AGRobBonta who is so radically left and woke that he has chased away Paramount – a California business leaving the state.

The California state government will lose $21 billion a year and 58,000 jobs.

Bonta is responsible.

— Richard Grenell (@RichardGrenell) September 17, 2026

They will never stop voting for Democrats.

.@AGRobBonta is idiotic. https://t.co/LzCOJuNBmx

— Justine Bateman (@JustineBateman) September 16, 2026

Yes, he is.

See, because David Ellison is tangentially connected to President Trump, Democrats must oppose him at every step of the way, even if it means destroying their own cities and states.

Hollywood is fleeing Hollywood, and that’s a good thing. https://t.co/9FsfwEeIXN

— Nerdrotic (@Nerdrotics) September 16, 2026

Ellison is looking at Georgia, Tennessee, and Texas as possible locations for Paramount. We’re sure those states would be happy to have them.

it’s actually very, very sad to watch Hollywood die https://t.co/I6y3yL0QKY pic.twitter.com/xmYJRAm0nz

— Brooke Brandtjen (@BrookeBrandtjen) September 17, 2026

What the Left has done to Hollywood is nothing short of criminal. There was a time it made good, enjoyable movies. Now it’s little more than propaganda for the DNC, and audiences are fleeing. And it will never go back to being what it once was.

Editor’s Note: Hollywood, academia, and liberal elites are out of touch with the average American.

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