How will Amazon leverage MGM Studios after the Acquisition?

How will Amazon leverage MGM Studios after the Acquisition?

Amazon which is a multinational tech giant has been competing against the OTT platforms such as Netflix, HBO studios and Disney+Hotstar with their Amazon Prime App. The OTT platform of Amazon Prime has announced its recent acquisition of MGM studios. Let’s look at the deal and how it is going to help Amazon in the OTT field.

Amazon MGM Acquisition – Latest News
Amazon’s Future Plan with MGM Studios
The main ideology behind the Acquisition of MGM and Amazon

Amazon MGM Acquisition – Latest News

Amazon has finally acquired the legendary MGM studios which is a significantly legendary media company. The deal is said to be around USD 8.45 billion. This is considered to be one of the boldest moves in the entertainment industry.

The deal will help Amazon Prime to take a forward step in the streamlined business and is the second largest acquisition in the history of Amazon.

Reasons How these Startup sectors bloomed during Covid 19 lockdown
In the unprecedented time, where everyone is talking about the economic slowdownand financial difficulties, there have been a few startups sectors that havemanaged grow exponentially well. The Covid 19 pandemic has shaken the world and has brought many business to ahalt, although startups have …

Amazon’s Future Plan with MGM Studios

Mike Hopkins who is the senior vice president of Amazon Prime Video has conveyed that the real financial value of the acquisition is the collection of the treasure in the deep catalog which they are planning to reimagine and develop together with the talented team of MGM.

He also added that they are very excited and are looking forward to working with the talented team for high quality story telling. The company is planning to leverage the legendary catalog of 4,000 films and 17,000 shows which will strengthen the platform of Amazon.

Kevin Ulrich, the chairman of MGM has conveyed that the combination to align the opportunity of the history of MGM with Amazon is inspiring. But above all Amazon needs more content for Amazon Prime video to stay relevant against the competition.

Buying MGM will provide Amazon Prime video with the access to favorites such as James Bond, Real Housewives and Survivors. It also will improve Amazon Prime’s odds in creating their own originals with a fully fledged studio that has created legendary shows and movies.

Revenue of MGM Holdings worldwide
Revenue of MGM Holdings worldwide

New Guidelines for OTT Platforms Explained
OTT platforms have been growing in India at a fast pace. The OTT market in Indiais expected to emerge as the world’s sixth-largest by 2024. The OTT market isalso expected to grow at a CAGR of 28.6% in the next four years. There arecurrently about 40 providers of over-the-top-platforms (OTT) in th…

The main Ideology behind the Acquisition of MGM and Amazon

The main idea behind the acquisition of MGM is considered not to be the legendary movies or shows or not just to create original shows but to increase the number of subscribers for the OTT platform of Amazon.

Amazon earlier had a stronghold by offering shipping discounts to prime members and attracting more consumers but right now a lot of firms have been offering shipping discounts for its consumers. At the same time, we can’t predict what Amazon would do with MGM’s content and it remains unexpected.


Who is the founder of MGM Studios?

Louis B. Mayer and Marcus Loew are the founders of MGM studios who founded it on 17 April 1924.

When was MGM founded?

MGM studios was founded on 17 April 1924 and It is around 97 years old.

Has Amazon bought MGM?

Yes, Amazon has acquired MGM studios for 8.5 billion dollars to compete against other OTT platforms.


The deal proves the willingness of Amazon to spend more in order to remain competitive in the streaming industry. It is to be noted that the competitors are spending heavily on developing the libraries and producing original content committing billions. This will be a step for Amazon to emerge as a much stronger brand in the streaming market.

Must have tools for startups - Recommended by StartupTalky

Read more

Laurence Douglas Fink Success Story

Laurence D Fink: How This Man Built BlackRock and Transformed Investing

In the complicated world of finance, some exceptional leaders wield significant influence. Admired for their profound knowledge and strategic foresight, they serve as guiding beacons for businesses worldwide. That’s why, it becomes imperative to closely examine their life journeys and the paths they've taken, seeking valuable lessons and inspiration.

By Kanimozhi Sivakumar , Bhoraniya Huda Hifzur Rehman