Musk Invests $1 Billion in Skydance, Which Owns CNN, Strengthening Ties With Ellison Family

Elon Musk, CEO of SpaceX and Tesla, reportedly invested $1 billion (1.3 trillion won) in Skydance, the U.S. media company that recently acquired CNN and Warner Bros. As Skydance seeks to raise funds after taking on massive debt through a large-scale merger and acquisition, its ties with Musk and the family of Oracle founder Larry Ellison are expected to grow stronger.

On October 22 (local time), U.S. online outlet Semafor reported, citing multiple sources, that Musk had made the investment in Skydance, led by David Ellison. The investment reportedly came around the same time as other investors, including Laurene Powell Jobs, the widow of late Apple founder Steve Jobs, put money into the company.

Tesla CEO Elon Musk attends a meeting in Washington, D.C., on the 8th (local time). Washington, D.C. (United States) = Reuters-Yonhap News.

Earlier this month, media company Skydance completed a $110 billion merger with Paramount and Warner Bros. Discovery. The deal gave it control of broadcast networks including CNN, CBS and HBO, as well as streaming platforms such as Paramount+.

However, Reuters reported that the company appears to be facing increased financial pressure after taking on various debts following the large-scale acquisition. The investment from Musk is also seen as part of Skydance's ongoing efforts to raise capital.

Semafor said the investment underscored the close ties Musk has maintained with David Ellison and his father, Oracle Chairman Larry Ellison. Larry Ellison invested about $1 billion when Musk acquired X (formerly Twitter) in 2022. He also invested in Tesla in 2018 and later served as a member of its board of directors.

Some observers also believe Musk's influence in the media industry could expand. Musk has maintained a close relationship with U.S. President Donald Trump and led the Department of Government Efficiency (DOGE) early in The Trump Administration.

Meanwhile, CNN, which is now part of Skydance, has continued to publish coverage critical of President Trump and Musk. Last month, Semafor reported on the possibility of Musk investing in Skydance, noting that "concerns could arise in Washington political circles if Musk were to acquire partial stakes in CNN and CBS."

David Ellison, however, has reportedly said he intends to preserve the editorial independence of the media outlets under the company, including CNN and CBS.

This content was produced with the assistance of AI translation services.