On March 17, Amazon Prime announced the takeover of the MGM studio, planned since May 2021. The platform paid out $8.45 billion to obtain film production giant Metro-Goldwyn-Mayer. It is the second largest acquisition in the history of the American company, after Whole Foods supermarkets for $13.7 billion in 2017. “MGM has a heritage of almost a century of producing entertainment exceptional, and we share their commitment to delivering a wide range of original movies and TV shows to a global audience,” Mike Hopkins, vice president of Prime Video and Amazon Studios, said in a statement.
Thanks to the takeover of MGM, the group obtains an enormous catalogue, which includes among other things all the james bondand the rockybut also classics like Thesilenceofthelambs Where Basic Instinct. “With more than 4,000 movies, 17,000 TV episodes, 180 Academy Awards and 100 Emmy Awards, the historic, nearly century-old studio will complement the work of Prime Video and Amazon Studios to provide a variety of entertainment choices to customers”, announces the press release of the American platform. who asked the Federal Trade Commission (FTC) to give its opinion before mid-March according to the wall street journal, but no complaints were filed. Amazon then took this silence as an approval of the transaction. However, a person familiar with the matter told variety that the FTC did not approve of this deal, and that it could challenge it before or after the realization of this one.
By becoming the owner of this monster of the cinema, Amazon becomes more and more powerful, and that does not please everyone. Even if Brussels announced that the operation posed “no problem of competition” in Europe, in the United States it is not the same story. Many unions have shown concern about the platform’s growing power grab. The Strategic Organizing Center, a federation that represents nearly four million employees, called on the FTC to strongly oppose it. After the deal closes, Amazon Prime will own more than 56,000 titles. It will then find itself far from its competitors like Netflix, which has around 20,000 titles in its possession.