CompanyGraph
Paramount Skydance Corporation Class B Common Stock
PSKY · United States
Runs CBS broadcast TV and Paramount+ streaming while owning free-to-air channels in Australia, the UK, and Latin America.
Paramount Skydance Corporation owns CBS's FCC broadcast spectrum licences across its owned stations, along with free-to-air broadcast licences in Australia (Network 10), the UK (Channel 5), and Latin America (Telefe), and feeds the same content library into its Paramount+ streaming service. Because the FCC requires CBS stations to air locally scheduled programming, every piece of premium content must fulfil that broadcast obligation before it can be given an exclusive window on Paramount+, which means the company cannot simply move its best shows behind a streaming paywall without replacing them on the broadcast schedule at additional cost. Once a show has cleared that sequence, licensing it to Network 10, Channel 5, and Telefe adds revenue at very low extra cost because the content already exists — but the underlying broadcast spectrum that makes the whole chain possible cannot be replicated, since no new national broadcast frequencies in those countries are available for a new entrant to acquire. If the FCC tightened local programming rules, or if any one of the four national regulators forced a licence change or divestiture, the sequencing that lets the company earn advertising fees, cable carriage fees, and streaming subscriptions from the same piece of content would break down.
How does this company make money?
The company collects advertising revenue from the CBS television network and its owned broadcast stations. It receives carriage fees paid by cable and satellite providers for carrying Nickelodeon, MTV, BET, and Comedy Central. It charges Paramount+ subscribers a monthly fee. It earns a share of box office receipts from Paramount Pictures theatrical releases. And it collects licensing fees when its content is distributed through Network 10, Channel 5, and Telefe in international markets.
What makes this company hard to replace?
Cable operators who carry MTV, Nickelodeon, BET, and Comedy Central are locked into multi-year carriage agreements, meaning they cannot simply drop those channels and replace them without going through a full renegotiation cycle. CBS affiliate stations operate under long-term network affiliation agreements that grant them exclusive territory rights, making it expensive and slow to walk away. Paramount+ content licensing deals with outside parties include exclusive windows, so even a streaming competitor with enough money could not immediately access the same titles.
What limits this company?
The FCC requires CBS owned stations to fill their schedules with locally broadcast programming. Every hour the company tries to move exclusively to Paramount+ must be replaced on the broadcast schedule with something else, and that replacement content costs money and tends to attract fewer viewers. No amount of additional spending can buy a regulatory exemption from this rule, so the constraint is a hard ceiling, not a financial one.
What does this company depend on?
The company cannot operate without five things: the CBS broadcast spectrum licences granted by the FCC; the technology infrastructure that runs Paramount+; the production agreement with Skydance Media, which supplies films and new content; the cable carriage agreements that put Nickelodeon, MTV, BET, and Comedy Central into homes; and the international broadcast licences for Network 10, Channel 5, and Telefe.
Who depends on this company?
Cable and satellite providers would lose the programming that fills Nickelodeon, MTV, BET, and Comedy Central if those channels went dark. Local CBS affiliate stations would lose the network programming feed they rely on to sell their own local advertising. Paramount+ subscribers would find the content library shrinking if the production pipeline stopped delivering new titles.
How does this company scale?
Once a show or film is made, licensing it to Network 10, Channel 5, Telefe, and other international partners adds revenue at very low additional cost — the content already exists and format adaptations are relatively cheap. What cannot be scaled in the same way is broadcast spectrum: getting additional FCC licences requires specific geographic availability and a regulatory approval process that money alone cannot accelerate.
What external forces can significantly affect this company?
The FCC's broadcast ownership rules limit how many stations the company can consolidate, which caps how efficiently it can distribute content domestically. Cord-cutting — people cancelling cable subscriptions — steadily shrinks the audience and fee base for MTV, Nickelodeon, and Comedy Central. Separately, content regulations in Australia, the UK, and Latin America govern what Network 10, Channel 5, and Telefe are allowed to broadcast, and any tightening of those rules directly affects what the company can air in those markets.
Where is this company structurally vulnerable?
Two specific regulatory changes could each do serious damage. First, if the FCC required CBS owned stations to carry a higher share of locally originated content, less network programming would qualify for Paramount+ streaming windows, directly dismantling the broadcast-plus-streaming revenue sequence. Second, if ACMA in Australia, Ofcom in the UK, or broadcasting authorities in Latin America imposed new ownership or content-origin restrictions that forced the company to sell Network 10, Channel 5, or Telefe, the international licensing chain that generates revenue from those markets would collapse.