In a surprising turn of events, the board of Paramount Global is reportedly planning to dismiss Chief Executive Officer Bob Bakish on Monday, according to sources familiar with the matter. With the company's quarterly earnings report scheduled for Monday, Bakish will notably be absent from the conference call, as per the sources.

In the absence of Bakish, the board is expected to rely on the heads of various divisions to steer the company while it navigates negotiations for a potential merger with Skydance Media. Paramount Global has established a special committee to explore this collaboration, and the two companies are currently engaged in exclusive talks until May 3.

Sources suggest that Bakish has seemingly lost the trust of Shari Redstone, the controlling shareholder of Paramount Global. It is believed that Redstone had been eager to remove Bakish ahead of the company's crucial carriage negotiation with Charter Communications, which plays a key role in determining the company's value for the potential merger with Skydance.

While a spokesperson for Paramount Global has declined to comment on the matter, reports from CNBC indicate that Paramount and Skydance have made significant progress in finalizing the deal. Under the proposed terms, Bakish is expected to depart from Paramount, clearing the path for David Ellison, the CEO of Skydance, to assume the helm of the merged entity.

Interestingly, Bakish has privately voiced his dissent against the merger, arguing that it could potentially dilute the value for common shareholders, according to individuals familiar with the matter. CNBC's earlier report stated that nearly 50% of the combined company would be owned by Skydance and its private equity partners, leaving the remaining portion for common shareholders to retain in public trading.

As the situation unfolds, industry insiders are keenly observing the developments within Paramount Global. The termination of Bob Bakish and the possible merger with Skydance Media could have significant implications for the future of the company and the entertainment industry as a whole.