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      Home Featured

      Amazon acquires MGM for $8.45 billion : The biggest acquisition by any E-commerce company

      by Rusy Shah
      May 28, 2021
      in Featured, News-Curated
      Reading Time: 2 mins read
      1
      Amazon acquires MGM

      It is biggest entertainment acquisition by an e-Commerce company.

      Share on FacebookShare on Twitter

      Table of Contents

      • Introduction:
      • Statement from Mike Hopkins, VP of Prime Video and Amazon Studios:
      • About Prime Video’s performance:

      Introduction:

      Amazon reaches a deal to acquire the film and TV company MGM for $8.45 billion. The company announced the acquisition today. This acquisition has been significant for Amazon. This means that it will have its own library of content that may consist of about 4000 films. This may also come with 17000 hours of TV. The acquisition will help Amazon find and attract more huge spending Prime subscribers. Currently Amazon Prime is competing with Netflix and Disney Plus. 

      MGM is notable for being the Hollywood studio behind the James Bond and Rocky franchises. But the library runs a range of classic movies that range from old to modern TV shows. According to Amazon, this acquisition will “provide customers with greater access” to MGM works and “empower” the studio to continue its “great storytelling”. 

      Statement from Mike Hopkins, VP of Prime Video and Amazon Studios:

      “The real financial value behind this deal is the treasure trove of IP in the deep catalogue that we plan to reimagine and develop together with MGM’s talented team,” Mike Hopkins, senior vice president of Prime Video and Amazon Studios, said in a statement. “It’s very exciting and provides so many opportunities for high-quality storytelling.”

      Amazon’s media business has been a small part of its overall empire. Yet it still spends billions of dollars on content each year. A significant portion of prime subscribers uses free Prime video streaming. About 200 million people worldwide are currently subscribed to Amazon Prime. 

      About Prime Video’s performance:

      Yet over 175 million have streamed videos last year. Therefore adding more films and TV shows can prove to be a boon for both sections. Reports of amazon’s possible acquisition of MGM first emerged in mid of May. MGM is currently owned by a collection of private equity firms. These include Anchorage Capital Group, Highland Capital Management, and Solus Alternative Asset Management. The sale of MGM comes at a time of Hollywood consolidation. The companies are attempting to use their content libraries to compete with Netflix and Disney. 

      mm

      Rusy Shah

      Bonjour! I am the Assistant Editor at Appedus and I write about the mobile development ecosystem. I hold a post-graduation degree in Computer Science and Information Technology and have worked as a freelance content writer with various clients. I have a passion for words and took up writing seriously after my daughter's birth. A stay at home mom, I am also a tech writer. The coolest mom you will ever meet!!! You can reach me at hola@appedus.com

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      Mobile App Development | Design | Marketing Magazine: Appedus

      Appedus is a mobile app ecosystem focused news publishing platform which covers various topics like app design, app development, app marketing and other relevant news, views or opinions. We also publish industry insights, e-books, developer interviews and e-magazines. You can get in touch with us on hola@appedus.com or you can snail mail us at

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