WarnerMedia - Discovery merger implications

Bloomberg reported of a merger of AT&T's WarnerMedia with Discovery.

• Combines broadcast (linear channels) and D2C (streaming), as well as premium content (HBO) with low-end (reality). Also, WarnerMedia is big in factual as well (CNN, providing a solid add-on for Discovery's portfolio) and Discovery adds sports (Eurosport, adding weight to HBO).
• Deal structure, management unclear as yet.
• Verizon selling Verizon Media, AT&T spinning of WarnerMedia raises the question: what about the other telco/media marriages? (Comcast, Telenet, Telia)
• Consolidation: in a crowded market (streaming) where 'stacking' is a big unknown, combining two entities is a good thing. They lose some focus (in terms of brand image) but gain portfolio breadth and scale. After all, we are still seeing newcomers in the D2C space and some even produce 'oroginals' (which is pointless if you don't have a sizeable budget - people will simply churn after seeing the exclusives).
• Pricing: adding the individual prices for HBO Max ($15) and discovery+ ($7) results in too high a price for many, given competitor pricing and the stacking issue. They may need to focus on volume (market share) rather than price.