• Monday, October 18, 2021
BUSINESS
Hollywood

Amazon is going Hollywood: Buying studio MGM in $8.45bn Deal

user.jpg Quick Entertainment, 2021-05-27
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Amazon is going Hollywood a piece of exciting news coming out on May 26th. The top online shopping giant is buying Hollywood studio MGM for nearly $8.5 bn deal. MGM is a big name in Hollywood whose hands behind James Bond and Rocky franchises. The source says Amazon takes this decision by seeing the battle for global streaming supremacy reach new heights.

In December when MGM put itself up to the sale the scale of the deal was a $5bn (£3.5bn) price tag as the fight to secure must-watch programming fuels fierce bidding wars for owners of increasingly scarce “crown jewel” content.

The studio also courted by the Sky owner, Comcast, and Apple, but in front of the size of the cheque, Amazon offered both companies abandoned and drawn their hands behind.

The famous Hollywood studio MGM has a library of 4,000 film titles and 17,000 hours of TV programming – ranging from Gone with the Wind and The Hobbit to TV hits such as The Handmaid’s Tale - that has collectively won more than 180 Academy Awards and 100 Emmy Awards.

The studio was founded in 1924 recorded its success in Hollywood by The Wizard of Oz and Ben Hur to Raging Bull, Basic Instinct, and The Silence of the Lambs.

This is the second-largest deal by Amazon with 175 million global users the world’s second-largest streaming service. In 2017 Amazon paid $13.7bn for the upmarket US grocer Whole Foods.

“The real financial value behind this deal is the treasure trove of intellectual property in the deep catalogue that we plan to reimagine and develop together with MGM’s talented team,” said Mike Hopkins, the senior vice-president of Prime Video and Amazon Studios.