The resignation of Bakish, who has been with the company since 1997, is anticipated to occur as early as Monday, ahead of the company's earnings call later in the day.

While representatives for Paramount Global declined to comment on the matter, it is believed that Bakish's departure is closely tied to Skydance's imminent acquisition of National Amusements, the theater company holding 77 percent of the controlling shares of Paramount Global, owned by Shari Redstone.

The Wall Street Journal indicated on Friday that there was a possibility of Bakish's ouster, as some board members reportedly expressed discontent with his leadership. Subsequently, CNBC reported on Saturday that his exit could occur as soon as Monday. As per the WSJ, Paramount is expected to establish an "Office of the CEO" composed of division heads who will lead the company temporarily. CNBC also reported that Bakish's departure was expedited due to his opposition to the Skydance merger.

Once the merger between Skydance and Paramount is finalized, David Ellison is expected to assume the role of CEO. It is worth noting that Bakish has no prospects of continuing his position in the new company. However, he does have a golden parachute in place, potentially worth up to $50 million.

Bakish's tenure at Paramount Global has seen its fair share of challenges. Not pursuing a potential $3 billion sale of Showtime has drawn criticism while legacy networks like CBS, MTV, VH1, BET, and Nickelodeon have struggled in a declining linear TV market. The company's credit rating was downgraded to "Junk," and Paramount+'s profitability remains elusive, leaving analysts to question if Paramount should have opted to license its content to other streaming services instead of entering the competitive streaming market. Paramount's market value has plummeted from $25.3 billion in 2019 to a current valuation of just $8.4 billion.

Amidst these developments, Paramount's negotiations with Charter for a new deal are also of concern. The previous deal between Disney and the cable provider expired, leading to a complex new agreement between the two companies in September.

Skydance's exclusive negotiations with National Amusements commenced on April 3 and are likely to extend beyond the initial 30-day window. However, Sony and Apollo Management Global are reportedly waiting in the wings, ready to make their own offers should Redstone decline Apollo's previous proposals for both individual Paramount film and TV studios, as well as Paramount Global as a whole.

As the industry awaits further developments, Bakish's resignation sends shockwaves through Paramount Global, hinting at potential changes in leadership dynamics and providing a crucial turning point in its merger discussions with Skydance.