Amazon has signed a deal to purchase MGM, the film and television studio, for close to $8.5 billion. The companies stated on Wednesday that MGM is now an element of Prime Video and Amazon Studios.
Subsequent to buying Whole Foods, this is the second-largest company that Amazon has acquired.
Reports indicated that bringing Amazon and MGM together “would not significantly reduce competition in the markets.” However, the U.S. government hasn’t commented on the deal.
The entire MGM catalog has over 4,000 movie titles and 17,000 TV episodes. But, it isn’t known when Amazon Prime subscribers will be able to view it.
Entertainment experts say that viewers will be impacted in various ways. With multibillion-dollar deals like these, it could mean “less choice for consumers and higher prices.”
Additionally, with its new accessibility to MGM’s intellectual property, the kind of television series and movies made by Amazon may be impacted.
Just like Disney bought LucasFilm and Marvel studios in order to have exclusive material for Disney+, Amazon is attempting to do the same.
“This will mean there will be less unique stories. We are in this situation because we like the brands we know. But, it’s going to be harder for new ideas to shine through,” stated one entertainment expert.
