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Paramount and Warner Are Racing to Make Rival 'A Nightmare on Elm Street' Films

A split in rights gives Paramount U.S. use of Wes Craven’s 1984 screenplay, with Warner retaining international and merchandising control.

Overview

  • Friday reports say both studios are actively developing separate Elm Street films, creating a direct race after Paramount closed a deal with the Craven estate for domestic rights.
  • Paramount’s agreement requires use of Wes Craven’s original 1984 screenplay for U.S. release and lists estate-affiliated producers including Iya Labunka and Jonathan Craven.
  • Warner, which kept New Line’s international rights, is pursuing its own version and is reportedly in talks with filmmaker Lee Cronin to write, direct, and produce.
  • Industry sources say the rush to advance projects is tied to delays in Paramount’s proposed acquisition of Warner Bros. Discovery, a deal pushed toward mid-2027 by antitrust and WGA legal challenges.
  • The split in rights creates clear trade-offs: Paramount faces creative limits and direct comparison to the 1984 film, while Warner has broader commercial freedom overseas and control of merchandising.