Amazon in talks to buy MGM for about US$9bn - report

Amazon.Com Inc (NASDAQ:AMZN) is in talks to buy Metro-Goldwyn-Mayer (MGM) for about US$9bn, in a deal that would give the ecommerce giant’s Prime Video members access to vast library of premium film and television content, Variety reported, citing industry sources.

Amazon has more than 200 million Prime members worldwide and around 175 million of those streamed Prime Video content in the past year. Last week, Amazon announced that a former high-ranking executive had returned to the company in a new role overseeing a consolidated global media and entertainment group.

Buying MGM would give the ecommerce giant access to MGM’s extensive library of around 4,000 titles covering many decades. MGM owns one of the world’s biggest libraries of premium film and television content and is home to two of the longest-running and most successful film franchises in cinematic history: James Bond and Rocky. The Bond film series has earned almost US$7bn to date, according to MGM’s website.

MGM was formed in April 1924 and dominated Hollywood for the next three decades under Louis B. Mayer. The studio has almost 180 Oscar winners in its vast library, including 12 for best picture.

In 2020, Amazon spent US$11bn on TV shows, films and music for its Prime services, up 40% from the previous year.

Story by ProactiveInvestors