New York, NY (Top40 Charts) Within the past week or so, several media outlets spoke about how Jeff Bezos and Amazon were looking into purchasing MGM and all of their properties. MGM has been hunting for a buyer for a while now, but their asking price was too high. However, virtually no asking price is too high for Jeff Bezos, and within the last few hours, the news came out that the two sides had come to terms.
Amazon will pay $8.45 billion for MGM and all of the properties under its banner. These include the James Bond and Rocky franchises, among others. Let's talk about what this might mean going forward.
Old Hollywood Disintegrating
Selling a movie studio and all of the properties that it controls can be tremendously complicated. It's not like just hiring a personal injury lawyer. There are several facets that interested parties need to work out, and the MGM sale was no exception.
The owners of the popular James Bond franchise were part of what was holding up the deal. They were reluctant to hand over control to an entity like Amazon because they felt like it might release future new Bond films to Amazon Prime subscribers rather than moviegoers.
However, the way people entertain themselves was changing long before the pandemic struck and closed down movie theaters worldwide. Many more individuals and families were investing in streaming services, either Amazon Prime or competitors like HBO Max, Netflix, and Disney+.
Some people still enjoy movie theaters, but many others opt not to do so because they know those movies will eventually show up on their streaming services anyway. Essentially, what we've seen the past couple of decades is old Hollywood disintegrating. MGM and its properties going to a streaming service like the mega-popular Amazon Prime is just the latest example of that.
What Will This Mean?
Amazon will probably release all the James Bond movies on Prime pretty soon, as well as the Rocky films and some of the other popular franchises and movies. Those who are already subscribers can watch them at their leisure.
This purchase could also be what convinces some families and individuals who were on the fence to make the leap and purchase Prime. Prime is good for other things besides entertainment, as those who have it can also get anything they buy via Amazon shipped to them for free.
Aside from that, what this very well could mean is that Amazon will greenlight shows and spinoffs having to do with the Bond and Rocky concepts. It seems unlikely that we'll see any new James Bond movies released exclusively on Amazon, but we could very well see shows about the 007 program that gave Bond his infamous "license to kill." We could see various Rocky spinoffs as well.
A Crowded Streaming Service Marketplace
We already mentioned some of the streaming services that are on the market today. Amazon Prime currently costs $119 per year, or you can also pay $13 per month if you don't want a lengthier commitment. Many households feel like they can swing that, since a single movie ticket will probably cost at least that much for an evening show, not to mention popcorn, drinks, and so forth.
Jeff Bezos probably felt like the $8.45 billion price tag was a bargain since he's going up against powerhouse entities like Disney+, which now has Marvel, Star Wars, National Geographic, and others under its umbrella. Disney+ has done very well with original series like "The Mandalorian," "Wandavision," and "Falcon and the Winter Soldier," too.
Netflix remains formidable as well, with offerings like "Shadow and Bone," "Queen of the South," and "Castlevania." Some families can even afford multiple streaming services, and they have a content library at their disposal that seems borderline miraculous. Keep in mind that these are many of the same Millennial adults who had to make do with VHS tape collections thirty years ago as children.
Jeff Bezos already bought properties such as Whole Foods, Zappos, and Ring, the popular doorbell company. He clearly has no intention of limiting himself to entertainment. Some like to joke that he's little more than a Bond villain himself, so this latest purchase is apropos.
It's anyone's guess what Bezos will set his sights on next. If he can purchase a 97-year-old Hollywood studio with minimal effort, it's not hyperbole to say that this individual can get his hands on just about anything his heart desires at this point.
