Europe Approves Amazon’s Acquisition of Hollywood Studio MGM
The European Commission has no objections to acquiring Metro-Goldwyn-Mayer (MGM) Filmstudios by American e-commerce giant Amazon. According to the Commission, the transaction will not lead to competition problems in Europe.
Amazon announced the planned acquisition in May 2021. The online store has $8.45 billion for it, including debt. The acquisition fits into the insatiable appetite for streaming content at American media and internet companies.
Metro-Goldwyn-Mayer, which is still in the hands of hedge funds, has a large catalogue of blockbusters, such as the James Bond and Rocky film series. MGM also owns the television series The Handmaid’s Tale and Fargo. The complete catalogue has about four thousand film titles and seventeen thousand TV shows.
The deal is more controversial in the United States. Fearing Amazon’s increasing power in the subscription streaming sector, voices (including political ones) call to block the takeover. However, the US competition authority has yet to rule on it.