Amazon introduced on Thursday that it has accomplished its acquisition of MGM, saying the long-lasting maker of flicks and TV reveals is becoming a member of Prime Video and Amazon Studios. “The storied, almost century-old studio—with greater than 4,000 movie titles, 17,000 TV episodes, 180 Academy Awards, and 100 Emmy Awards—will complement Prime Video and Amazon Studios’ work in delivering a various providing of leisure selections to clients,” Amazon stated.
The $8.45 billion deal was introduced in Might 2021. Amazon was capable of full it with out a protracted struggle as a result of the Federal Commerce Fee hasn’t challenged it in court docket, regardless of different conflicts between Amazon and the FTC.
“The transfer comes after Amazon licensed to the Federal Commerce Fee that it had supplied all the knowledge requested by antitrust investigators reviewing the deal,” The Wall Avenue Journal wrote right now. “That step put the deal on a regulatory clock with the company that has now expired, leaving the corporate free to maneuver ahead, an individual acquainted with the matter stated.”
The FTC may nonetheless problem the merger and attempt to unwind it if a majority of commissioners votes to take action. The FTC—simply just like the Federal Communications Fee—is deadlocked with two Democrats and two Republicans. Biden’s nomination of Alvaro Bedoya is pending within the full Senate after a 14-14 vote within the Senate Commerce Committee on March 3.
European Fee accredited merger
The European Fee accredited the Amazon/MGM merger on Tuesday, saying it decided that the acquisition “wouldn’t considerably cut back competitors.” Amongst different issues, “the overlaps between Amazon and MGM are restricted,” and “the addition of MGM’s content material into Amazon’s Prime Video provide wouldn’t have a major influence on Amazon’s place as a supplier of market companies,” the EC stated.
The European regulator additionally discovered that “MGM’s content material can’t be thought of as must-have, and all kinds of different content material exists,” that “MGM’s movies symbolize solely a restricted share of field workplace revenues within the EEA [European Economic Area], and that total, MGM isn’t among the many high manufacturing studios, regardless of its rights over profitable movie franchises akin to James Bond.”
Amazon identified that MGM’s catalog additionally contains Rocky, Creed, Thelma & Louise, The Silence of the Lambs, The Magnificent Seven, and Raging Bull. When it introduced the acquisition final yr, Amazon promised “larger entry” to MGM content material and stated that “the actual monetary worth behind this deal is the treasure trove of IP within the deep catalog that we plan to reimagine and develop along with MGM’s gifted staff.”
The merger is Amazon’s second-biggest after its $13.7 billion buy of Complete Meals in 2017.