Financial and business news from Bulgaria

Amazon buys MGM film studio for $8.45bn

Amazon is buying the film studio MGM (Metro-Goldwyn-Mayer), paying for it $8.45bn in hopes of providing more content for its streaming service, global agencies reported, reported. It was the second-largest acquisition for the tech giant after buying grocery store chain Whole Foods for nearly $14bn in 2017.
MGM, also known to children for its logo with the Roaring Lion, is among Hollywood's oldest studios. It was founded back in 1924, in the age of silent cinema, and its titles include a long list of classics. Behind the historic cinema studios stand headlines such as the legendary James Bond series, “Profession Blonde”.

An Amazon statement said the deal would allow MGM “to continue to do what it does best: great storytelling.”

The deal will bolster Amazon Prime Video with around 4,000 films, including a franchise for the aforementioned titles, as well as 17,000 TV shows such as the Handmaid's Tale TV series.

The acquisition of MGM is another deal in the media sphere to strengthen the positions of streaming platforms against competitors like Netflix and Disney+.

AT&T and Discovery announced on May 17 that they would rally their media companies to create a conglomerate including HGTV, CNN, Food Network and HBO.

MGM's purchase will give Amazon access to more movies, series and famous characters such as Rocky, RoboCop and Pink Panther, as well as the Epix cable channel.