Tennessee flirts with Paramount for David Ellison, Hollywood Reporter I’ve learned.
In a letter to Ellison on July 2, Tennessee Lieutenant Governor Stuart McWhorter urged Paramount CEO to move the studio’s corporate headquarters amid a dispute with California over its $111 billion acquisition of Warner Bros. Discovery.
“Our success is rooted in fiscal discipline, low taxes, predictable governance, and the firm belief that government should be a partner in private sector growth,” the letter said. “Businesses that choose Tennessee find more than just a favorable business climate – they find a state committed to helping them succeed.”
The invitation was delivered when California indicated its intention to block the deal. Paramount extended what it saw as the olive branch that led to Monday’s lawsuit by committing to produce 30 films a year with a 45-day theatrical window, an offer that was ultimately rejected.
Leaving California is not the ideal solution given Paramount’s move from New York last year, but one of Ellison’s longtime advisers says THR That “everything is on the table.”
It would be a major blow to productions in the state and Los Angeles, where shooting levels are near historic lows, if the studio reallocates much — or even any significant portion — of its $30 billion spending to competing territories like New York, New Jersey, the United Kingdom or Canada. The studio has several productions filmed in the state, including Matlock, NCIS and Tracker.
A Paramount spokesperson verified the authenticity of the message but had no comment.
If it relocates, Paramount would join companies like FedEx, HCA Healthcare and Autozone in the state.
“As Paramount Skydance writes its next chapter, Tennessee makes a compelling pitch: a state where creativity and technology converge, where talent is intentionally developed, and where innovation is embraced,” McWhorter wrote. “We welcome the opportunity to share our vision for how Tennessee can help shape the future of Paramount Skydance and its talented team.”
Ellison and his family have deep ties to Tennessee, where he lived on and off for 11 years from 2014 to 2025. He sold his home in the state after Paramount’s bid for Skydance closed.
Also a factor: Oracle, led by Ellison’s father, plans to build a massive campus in Nashville. Co-CEO Clay McGuirk also resides in Tennessee.
For Warner Bros. Discovery, moving headquarters to Tennessee means moving back to the state. The company used to retain a massive office complex in Knoxville as a result of the 2017 Scripps Network deal. It sold the property in 2023.
On Monday, a coalition of 12 state attorneys general led by California filed a lawsuit against Paramount to stop its $111 billion acquisition of Warner Bros. Discovery.
Days before the lawsuit was filed, Semaphore reported that Ellison’s advisers were pressuring the CEO to leave California and shift production spending away from the state.
