The film industry is going through some shocking changes. Just recently it was announced that Discovery would be acquiring Warner Media altering deals between HBOMax and AT&T changing the course of whatever confusion they have going on over at the WB water tower lot.
But now, it appears that another film industry giant is calling it quits as they so generously hand over their keys as well.
Amazon announced Wednesday that it will acquire MGM Studios for $8.45 billion, marking its boldest move yet into the entertainment industry and turbocharging its streaming ambitions.
The deal will be the second-largest acquisition in Amazon’s history, behind its $13.7 billion purchase of Whole Foods in 2017.
Now what does this mean you ask? Well, The deal will prove Amazon’s is ready and willing to stand competitive in the crowded streaming market. Amazon, Netflix, Disney and other video streaming services have been looking to beef up their content libraries to win over subscribers, committing billions toward licensing content and developing original programming.
In a statement, MGM Chairman Kevin Ulrich said: “The opportunity to align MGM’s storied history with Amazon is an inspiring combination.”
Some of Amazon's hits in film and television programming, including “The Big Sick” and “Manchester By The Sea,” winner of the 2017 Academy Award for best original screenplay, as well as series “The Marvelous Mrs. Maisel” and “Transparent.”
Another closely watched project, an adaptation of “Lord of the Rings,” is currently in production. “Lord of the Rings” which has said to have a production budget of $465 million, likely making it one of the most costly television series ever made.
Amazon has also made an aggressive push into sports content, inking a deal with the NFL in May to broadcast Thursday Night Football starting in 2022.
And now with an added and lengthy catalogue which will range from the year 1924 to the present. Films such as Broadway Melody of 1936, The Philadelphia Story, Moonstruck, The man from uncle and of course the James Bond Franchise to name a few, this will forsure keep Amazon relevant then, now and for years to come.