The Giant Keeps Growing: Amazon Closes $8.5 Billion Acquisition of MGM
Amazon’s newest deal comes to a close after almost a year after its announcement.
Amazon has grown a little bit more with its $8.5 billion acquisition of MGM which officially closed early on Thursday.
The deal was first announced in May 2021 and has led the companies down a winding road through the regulatory process.
In a statement, an Amazon spokesperson said, “The storied, nearly century-old studio—with more than 4,000 film titles, 17,000 TV episodes, 180 Academy Awards, and 100 Emmy Awards—will complement Prime Video and Amazon Studios’ work in delivering a diverse offering of entertainment choices to customers.”
The transaction was completed two days after the Amazon-MGM deal received clearance from the European Union’s antitrust regulator.
Although the deal was still pending clearance by the U.S. Federal Trade Commission (FTC), we're nearing the mid-March deadline given by Amazon to clear the transaction, according to theWall Street Journal.
As of Thursday morning, the FTC did not make a public challenge or approval of the deal, but an insider toldVarietythat the FTC does not formally approve it, it can only challenge or not challenge, and can do so at any time.
Jennifer Salke is currently the head of Amazon Studios and industry chatter has led many to think she could serve as the chief of the newly combined studio.
Chris Brearton, chief operating officer of MGM, said in a statement:
"We are excited for MGM and its bounty of iconic brands, legendary films and television series, and our incredible team and creative partners to join the Prime Video family. MGM has been responsible for the creation of some of the most well-known and critically acclaimed films and television series of the past century. We look forward to continuing that tradition as we head into this next chapter, coming together with the great team at Prime Video and Amazon Studios to provide audiences with the very best in entertainment for years to come."
MGM, which is just shy of its 100th birthday, will bring Amazon a catalog of more than 4,000 movies and 17,000 TV shows, including franchises like James Bond, Pink Panther, and the Rocky movies.
This deal could see exponential growth in Amazon’s newest films and TV shows as they expand on already existing IPs. While we wait for those reimaginings to come into the light, Prime Video subscribers can enjoy the classic films from MGM’s catalogs such as 12 Angry Men, Basic Instinct, and Thelma & Louise.
Let us know what you think about the deal in the comments below!
Source: Variety
