Shares of Paramount Skydance experienced a dramatic increase of more than 20% on Friday, as the company is poised to acquire Warner Bros. Discovery. This move has positioned Paramount Skydance ahead of Netflix in what has become a fierce competition for media acquisitions. Following the market's close, Paramount Skydance saw its shares rise by 20.8%, reaching $13.51.

Netflix, which previously pursued the acquisition of Warner Bros., has now shifted its strategy, resulting in a 13.8% rise in its own shares. This change comes as Netflix has elected to withdraw from the bidding for the media giant, allowing Paramount Skydance an opportunity to secure the acquisition. Nonetheless, Netflix is slated to receive a breakup fee of $2.8 billion due to their withdrawal agreement, which underscores the high stakes involved in this acquisition battle.

The implications of this acquisition could be significant for the media landscape, as it not only represents a strategic move by Paramount Skydance but also reflects the ongoing consolidation within the entertainment industry. This shift may reshape the competitive dynamics between streaming services and traditional media giants. The growing influence of Paramount Skydance with Warner Bros. could challenge Netflix's market position and change viewer options in the coming years.