Group 1: Spotify - Spotify added a record number of users last quarter, reaching a total of 751 million subscribers, with shares surging by 20%, marking its biggest jump in seven years [3][4][30] - The end-of-year Wrapped campaign significantly contributed to user growth, as it is an annual interactive marketing campaign that encourages users to share their listening habits [31][32] - Despite the growth in users, advertising revenue has declined, raising concerns about the company's ability to monetize its ad-supported users effectively [32] Group 2: Paramount and Warner Bros. - Paramount is enhancing its bid for Warner Bros. by offering to cover a $2.8 billion termination fee that Warner Bros. would owe Netflix if they terminate their deal [33][34] - The bid aims to address Warner Bros.' concerns about refinancing debt and the financial implications of switching from Netflix to Paramount [35][36] - Paramount has not increased its offer price of $30 per share, but the added financial assurances may improve the bid's attractiveness to Warner Bros. [36][39] Group 3: Bond Market and AI Investments - Alphabet has raised $32 billion in the debt markets, with a recent bond offering of $11 billion being oversubscribed nearly 10 times, indicating strong investor confidence [5][6][9] - The issuance of a 100-year bond reflects the market's belief in Alphabet's long-term stability and growth potential, despite concerns about the AI bubble [7][10] - Analysts project over $4 trillion in cumulative hyperscaler spending through 2030, highlighting the significant investment in AI infrastructure [8][24] Group 4: Software Sector - The software sector is experiencing volatility due to fears surrounding AI, but some analysts believe these fears are overstated, suggesting that enterprise software will remain relevant [13][15] - Companies in the software space are advised to adapt to AI integration rather than fear obsolescence, as the transition will take time [17][19] - There are pockets of opportunity within the software sector, particularly in cybersecurity and AI infrastructure, as companies look to embed AI into their solutions [19][20][24]

Core Viewpoint - Paramount Skydance has revised its offer to acquire Warner Bros. Discovery, introducing a $2.8 billion break fee for Netflix and a quarterly payment increase for shareholders if the deal does not close by January 1, 2027, although it remains uncertain if this will influence Warner's board, which favors a competing bid from Netflix [2][6]. Group 1: Offer Details - The updated offer includes an all-cash price of $30 per share, a termination payment, and a "ticking fee" of 25 cents per share, amounting to approximately $650 million in cash value each quarter [3]. - Paramount's proposal also aims to eliminate Warner's $1.5 billion financing cost related to its debt exchange offer and provide flexibility for refinancing a $15 billion bridge loan [4]. Group 2: Financing and Commitments - The revised offer is fully financed with $43.6 billion in equity commitments from the Ellison family and RedBird Capital Partners, alongside $54 billion in debt commitments from Apollo, Bank of America, and Citigroup [4]. - A personal guarantee of $43.3 billion from Larry Ellison, co-founder of Oracle and father of David Ellison, is included in the offer [4]. Group 3: Company Statements and Reactions - David Ellison emphasized the enhancements to the bid, highlighting the commitment to providing shareholders with value certainty, a clear regulatory path, and protection against market volatility [5]. - Warner Bros. Discovery acknowledged receipt of the new offer and stated it would carefully review it, but the board remains committed to its agreement with Netflix and advised shareholders not to act on Paramount's tender offer at this time [6].

Paramount Skydance says it would pay a $2.8 billion termination fee Warner would have to pay if it breaks off the deal with Netflix. Lucas Shaw reports. -------- Like this video? Subscribe to Bloomberg Technology on YouTube: https://www.youtube.com/channel/UCrM7B7SL_g1edFOnmj-SDKg Watch the latest full episodes of "Bloomberg Technology" with Caroline Hyde and Ed Ludlow here: https://www.youtube.com/playlist?list=PLfAX25ZLrPGTygCwn55voYZ_LYyKjxokJ Get the latest in tech from Silicon Valley and around the wor ...

Paramount Sweetens Warner Bros. Bid Terms to Woo Investors. Listen for more on Bloomberg Intelligence.https://t.co/sg4vbyzqsS ...

Paramount has enhanced its hostile offer to acquire all of Warner Bros. Discovery https://t.co/Ly5X1ZHuNS ...

NEW YORK (AP) — Paramount is again sweetening its hostile takeover bid for Warner Bros. Discovery, while again extending the deadline for its tender offer as it scrambles for more shareholder support. On Tuesday, the Skydance-owned company said it would pay Warner shareholders an added “ticking fee” if its deal doesn't go through by the end of the year — amounting to 25 cents per share, or a total of $650 million, for every quarter after Dec. 31. Paramount also pledged to fund Warner's proposed $2.8 billi ...

Paramount says it will pay more if its bid is accepted but doesn't close by year's end and will also cover Netflix's break-up fee. ...

Group 1 - Paramount Skydance Corp. is improving its hostile takeover bid for Warner Bros. Discovery, seeking shareholder support against Netflix's offer [2] - Paramount will cover a $2.8 billion breakup fee if Warner Bros. terminates its deal with Netflix, along with $1.5 billion in refinancing costs [2] - To demonstrate confidence in obtaining regulatory approval, Paramount will pay Warner Bros. shareholders a "ticking fee" of $0.25 per share for each quarter if the deal is not completed by December 31 [2] Group 2 - A key strategy for Paramount in blocking Netflix's acquisition plan is to showcase its regulatory advantages [3] - Successfully navigating the waiting period could serve as a signal from the government, persuading Warner Bros. shareholders to vote against the Netflix deal [3]

Welcome to Morning Brief. I'm Julie Hyman. Here's what you need to know today.First up, US stocks are trading near record highs ahead of key economic data, including the US jobs report and the latest read on inflation. This morning, we already got an economic data report. Retail sales from December showing no growth.And we're going to talk much more about the state of the consumer throughout the show. Plus, investors are betting on another century of Google parent Alphabet. According to reports, Alphabet se ...

Today in Bloomberg Deals: A European M&A rush, Paramount offers to pay Warner breakup fee and Stripe’s valuation is set to hit $140 billion. https://t.co/AMgNb64yMm ...