Comcast and Paramount Skydance have begun a review of strategic options for SkyShowtime, their European streaming joint venture, with a possible wind down among the outcomes now under consideration.
The development was communicated Monday to SkyShowtime CEO Monty Sarhan in a letter from the joint venture’s board, according to source material viewed by The Hollywood Reporter. Sarhan then shared the memo with employees, bringing staff formally into a process that could reshape, sell or potentially close the service. No final decision has been made.
“SkyShowtime operates in one of the most competitive markets in our industry,” the board wrote in the letter. “Despite the excellent work of the team and the strength of what you and the team have built, the landscape continues to evolve rapidly, and remains highly challenging.”
The board continued: “Against that backdrop, SkyShowtime’s shareholders are commencing a review of strategic options for the business, which includes the possibility of a wind down. No decisions have been made, and all options remain under consideration.”
SkyShowtime was created as a European streaming collaboration drawing on programming from NBCUniversal, Sky Studios and Paramount. The service effectively brought together a European offering comparable in content heft to what Peacock and Paramount+ represent in the U.S.
The streamer was first announced five years ago and now operates in more than 20 countries across Europe. In his own note to employees, Sarhan said SkyShowtime currently has “several million subscribers” and said the business stands “in scale alongside the most established players in the market.”
Staff told operations continue as normal
For now, the company is not presenting the review as an immediate operational shutdown. The board told employees that SkyShowtime continues to function normally for both customers and partners, and that staff roles are unchanged at this stage.
“We know the most important question this raises is what it means for the SkyShowtime team. This update is the beginning of a dialogue, not the end of one,” the board wrote.
The memo also asked employees to keep their focus on the business while the review is underway, including maintaining “momentum of the operating business into 2027.”
“At this time, we ask that the team remain focused on bringing our audiences the quality of service and programming you have all expertly delivered over the years,” the board said.
The board further indicated that any proposal affecting employees would be handled through the applicable processes in each market where SkyShowtime operates.
“Where any proposal could affect employees, we will follow the information and consultation processes required in each of our markets,” the letter stated. “Final decisions will be made after those conversations have taken place.”
Sarhan addresses uncertainty
Sarhan’s message to staff acknowledged the unsettled nature of the news while emphasizing support for employees as the review moves forward.
“I know this news creates uncertainty and, as we work through what comes next, my priority and that of the leadership team, is to be there and support all of you,” Sarhan wrote.
He added: “Together, we have created a community and culture with empathy, opportunity, and innovation at its heart. Whatever comes next, we will all continue to be there for one another.”
The review comes amid a shifting media landscape. When the SkyShowtime joint venture was formed, David Ellison had not yet acquired Paramount. He is now seeking to acquire Warner Bros. Discovery, while major media companies continue to reassess their streaming strategies.
That changing environment is central to the SkyShowtime review, according to the board’s message, which framed the business as operating in a difficult and fast-evolving sector.
What happens next?
The immediate next step is the strategic review itself. The board has made clear that all options remain under consideration, including a possible wind down, and that no outcome has yet been selected.
Until any proposal is advanced, SkyShowtime will continue operating as normal for customers and partners. If a future proposal affects employees, the companies say they will follow the required information and consultation processes in the relevant markets before final decisions are made.