The IPI global network is deeply alarmed by Paramount’s recent decision to settle President Trump’s unfounded lawsuit over a CBS 60 Minutes interview for $16 million. While legal experts agreed that Paramount, CBS’s parent company, would have likely prevailed in court, this decision comes as Paramount seeks to close a multibillion dollar merger which requires approval from the Trump administration. The settlement is a further sign of the Trump administration’s efforts to pressure media organizations.
Before beginning his second term, Donald Trump sued Paramount for $20 billion over 60 Minutes’ interview with Kamala Harris, alleging that the network distorted the segment in an effort to sway the election in her favor.
Although many legal experts say the lawsuit lacked legal merit, Paramount on July 1 announced that it would settle for $16 million. The amount, selected strategically to mirror ABC’s major concession to the Trump administration in December 2024, was chosen out of concern that any higher amount could invite accusations of bribery from shareholders.
Senators Elizabeth Warren and Bernie Sanders have said they would consider holding a congressional hearing over the possibility of the settlement constituting a bribe.
The Trump administration has led an escalating and multifaceted campaign aimed at restricting the editorial independence and operations of American news media outlets. This includes launching a barrage of retaliatory lawsuits against media outlets, and threatening to rescind already-appropriated funding for the Corporation for Public Broadcasting, which supports National Public Radio (NPR) and the Public Broadcasting Service (PBS) which for decades, have played an essential role in providing news services to rural communities in America. President Trump has also used his platform to attack the credibility of certain journalists and outlets, which weakens overall public trust in the media.
The company’s decision also comes amid great turmoil and tension within Paramount as Bill Owens, 60 Minutes Chief, resigned citing encroachments on his journalistic independence. In the wake of Trump’s lawsuit, producers and journalists at CBS exercised greater scrutiny over programming that could be perceived as critical of Trump. The president of CBS News, Wendy McMahon, was also forced out.
The settlement comes as Paramount’s controlling shareholder, Shari Redstone, is seeking to secure approval from the Federal Communications Commission (FCC) for Paramount’s planned multibillion-dollar merger with Skydance Media, controlled by David Ellison, the son of a tech billionaire who has backed Trump.
Brendan Carr, the chairman of the FCC, has maintained that the president’s lawsuit against Paramount is unrelated to the FCC’s review of the Skydance merger, a position Paramount has also reiterated.
Paramount’s settlement is the latest in a stream of corporate concessions to the White House, following Disney’s $15 million and Meta’s $25 million settlement, along with fellow media giant ABC’s $16 million concession to Trump. These settlements risk establishing a precedent of intimidation toward news organizations, placing news outlets at greater legal risk.
“Paramount’s settlement sets an alarming example of President Trump’s continued efforts to intimidate the press and undermine independent institutions which are the very cornerstone of functioning democracies,” IPI Director of Advocacy Amy Brouillette said. “This also reflects a deeply troubling pattern by US corporations, business leaders, and law firms to appease Donald Trump—even when his administration’s moves are blatantly unconstitutional and can weaken democratic checks and balances.”