CBS has submitted a bid to merge with Viacom, its former sister company, that is below market value, sources tell CNBC. Reuters reported Monday that a lower bid was to be expected.

Why it matters: The move shows that CBS clearly feels its position in the market is more valuable than Viacom's, as Reuters noted Monday when it first broke the news.

There has been reported drama over who would take the #2 spot in the company next to CBS’ current CEO Les Moonves. Some, including controlling shareholder Shari Redstone, reportedly want Viacom CEO Bob Bakish to take the spot. CBS' special committee looking into the merger reportedly wants Moonves and Joe Ianniello, the chief operating officer of CBS, to lead the company, the sources said.

The potential merger comes at a time of rapid consolidation within the industry. Legacy media companies are looking to take on tech giants, like Amazon and Netflix, that are investing in their own entertainment, sports and news content.

Viacom shares were down at market close Tuesday. CBS shares were up.

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Data: Compiled from state health departments by Axios; Map: Danielle Alberti/Axios

At least 15 states broke their single-day novel coronavirus infection records this week, according to state health department data reviewed by Axios.

The big picture: The number of coronavirus cases increased in the vast majority of states over the last week, and decreased in only two states plus the District of Columbia, Axios' Andrew Withershoop and Caitlin Owens report.

Updated 3 hours ago - Politics & Policy

Coronavirus dashboard

Illustration: Aïda Amer/Axios

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  6. World: Mexican leaders call for tighter border control as infections rise in U.S.
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In photos: America celebrates July 4 during global pandemic

Photo: Francine Orr/Los Angeles Times/Getty Images

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The state of play: Axios' Stef Kight writes public parades and fireworks displays around much of the country are being canceled to prevent mass gatherings where the virus could spread. Hot-dog contests and concerts will play to empty stands and virtual audiences — all while American pride treads an all-time low.