Deal Bonanza Expected in 2025 After Trump’s Election Win
According to a recent forecast by accounting firm PricewaterhouseCoopers, the media and telecom industry is poised for a deal bonanza in 2025. The firm’s media and telecom deals outlook suggests that the election of Donald Trump as President-elect will lead to a “robust 2025 M&A market” due to pent-up demand that was previously sidelined by regulatory concerns.
The Biden administration’s regulatory agencies, led by merger hawks Lina Khan and Jonathan Kanter, had blocked several major deals, including Paramount’s sale of Simon & Schuster to Penguin RandomHouse and Microsoft’s bid to buy Activision. However, Trump’s pick for the FTC chair, Andrew Ferguson, has pledged to “reverse Lina Khan’s anti-business agenda” by repealing “burdensome regulations.”
The appointment of Brendan Carr as FCC chair, who was warmly received by media companies and industry trade organizations, also suggests a return to a pro-deregulation agenda. This could accelerate consolidation, empowering dominant players to expand their market control.
The forecast notes that there are several deals that weren’t done this year, including a potential acquisition of CNN by Warner Bros. Discovery, and that mini-major studios like Lionsgate and upstarts like A24 remain independent. Apple has also yet to use its spare change to buy a major studio to fuel its streaming ambitions.
The forecast cites several favorable variables that will drive the M&A market in 2025, including advances in AI, dry powder at an all-time high, changing regulatory bodies, and transformative M&A already announced. The firm expects media and telecom companies to move aggressively in 2025, with continued motivation to pursue megadeals given their ability to reshape industries, consolidate markets, and create long-term value through synergies and new opportunities.
