A US federal judge issued a 14-day temporary restraining order this week blocking Paramount and Warner Bros. Discovery from proceeding with integration measures. The order pauses key steps toward combining the two Hollywood studios as the court considers arguments in the case.

Lawyers challenging the merger argued it raised competitive concerns across film, television and streaming distribution. The two-week window allows the court to assess whether a longer injunction is warranted, according to filings.

Paramount and Warner Bros. Discovery announced the combination as one of the largest media consolidations in years, aiming to compete with Netflix and Disney in streaming. Both companies have said they intend to defend the transaction.

Analysts at MoffettNathanson and Wall Street firms said the delay adds cost and uncertainty to a deal already facing regulatory review. Shares of both companies have been volatile since the litigation emerged, and executives face pressure to reassure staff and shareholders about the timeline.

A Paramount spokesperson said the company remained confident the merger would ultimately close and would comply with the court's order. Warner Bros. Discovery declined to comment beyond earlier statements defending the deal's benefits for consumers and competition.