Amazon has announced that it has agreed to retrieve the entire backlog of content that dates back almost a century to MGM (Metro Goldwyn Mayer). With over 4,000 movies and 17,000 hours of TV shows on MGM, Amazon wants to improve its current on-demand video service.
Amazon has invested heavily in its own Amazon Studios to create original shows and movies dedicated to Prime Video. The acquisition will allow the platform to compete more heavily with Disney + and Netflix. Amazon believes that the MGM catalogue is a perfect complement to Amazon Studios.
The true economic value behind this deal is a treasure trove of deep catalog IP that we plan to rethink and develop with MGM’s talented team. It’s very exciting and offers so many opportunities for high quality storytelling. – Mike Hopkins, Senior Vice President of Prime Video and Amazon Studios
MGM’s films and shows have won a total of over 180 Academy Awards and 100 Emmy Awards. The movies included in the contract James bond series, Legally blonde, Poltergeist, Robocop, Rocky, The Silence of the Lambs, Tomb Raider, Creed..TV shows include Fargo, Handmade story, and Viking.
This announcement is just the beginning of the entire acquisition process carried out by US antitrust regulators and can take years to complete on a regular basis. Amazon currently includes Prime Video as a regular Prime member, but could this acquisition signal a new pricing structure for Prime Video?