Amazon nabs MGM for $8.45 Billion

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The rumors have become true as Amazon has bought MGM for $8.45 billion. The deal delivers a massive film and TV library to the digital platform and studio. MGM features a film catalog of 4,000 films and 17,000 television shows.

Amazon revealed in April that 175 Prime members have viewed movies and TV shows on the platform in the past year. In comparison, Netflix has 207 million global subscribers and Disney+ has 103 million subscribers.

To put the purchase in further perspective, Amazon spent $11 billion on video and music content for Prime Video and Amazon Music last year and $7.8 billion the year before. It spent $13.7 billion to acquire Whole Foods. Amazon is spending $465 million on one season of their Lord of the Rings series and has signed a deal with the NFL to broadcast Thursday Night Football starting in 2022.

The deal has to still pass regulatory approval.