Amazon closes its $8.5B MGM acquisition, two days after the EU's antitrust regulator “unconditionally” approved the deal as the business overlaps are “limited”
Welcome back to a new edition of Lab Weekly. Robert / Transistori : Amazon omistaa nyt MGM:n The Verge : MGM is now part of Amazon Aisha Malik / TechCrunch : Amazon completes $8.5 billion acquisition of MGM Jill Goldsmith / Deadline : Amazon And MGM Close $8.5 Billion Merger Alex Weprin / Hollywood Reporter : Amazon Closes $8.5B MGM Acquisition Joao Silva / TechSpot : MGM now officially belongs to Amazon Elias Saba / AFTVnews : Amazon completes aquisition of MGM $8.45 billion Thomas Barrabi / New York Post : Amazon closes $8.5 billion MGM studio purchase despite FTC scrutiny Kris Holt / Engadget : Amazon completes its $8.45 billion takeover of MGM Chris Mills Rodrigo / The Hill : Amazon closes MGM acquisition Dave Lee / Financial Times : Amazon closes $8.45bn deal to acquire film studio MGM Lauren Forristal / The Streamable : MGM Joins Amazon, $8.5 Billion Merger Complete Jess Barnes / Cord Cutters News : Amazon Has Acquired MGM for $8.5 Billion Taylor Soper / GeekWire : Amazon closes $8.5B MGM deal, its second-largest acquisition ever Eddie Makuch / GameSpot : James Bond Studio MGM Is Now Owned By Amazon Tech Xplore : Amazon closes $8.5B deal to acquire Hollywood studio MGM Tweets: @mgmstudios : So excited to share that MGM is now part of Prime Video and Amazon Studios https://www.aboutamazon.com/ ... Jeremy Littau / @jeremylittau : The streaming wars are a race to acquire intellectual property and library catalog from studios that don't already have a viable streaming product. You'll see the descent of second-tier conglomerates as tech companies and upstarts gobble up content. https://variety.com/... Claude Taylor / @truefactsstated : In the near future three conglomerates will own 80% of everything. https://twitter.com/... @dsnynewscast : This is a huge gain for Amazon Prime Video! I wonder if Apple will make more of a move to try and buy Sony now? The streaming wars are heating up! Netflix vs. Disney+ vs. Amazon Prime Video vs. HBO Max vs. Paramount+ vs. Peacock vs. Apple TV+ https://twitter.com/... Jay Black / @jayblackisfunny : Looking forward to Bond driving an Amazon delivery van in the next movie. https://twitter.com/... @stargatenow_eu : Congratulations, @AmazonStudios @PrimeVideo @mgmstudios! Now please make the most of your treasure trove and bring us the new In-Canon #Stargate series we've been waiting for so long. #WeWantStargate https://twitter.com/... Jim Gisriel / @jimmforce : Congrats Amazon owns ever more of the world now. Hope we get a new robocop so Amazon can make money on commenting on this dystopian nightmare https://twitter.com/... Roman Arbisi / @arbisiroman : Terrible. 4-5 corporations will run the planet. The expansive reach of art will minimize and media literacy will hinge on brand recognition and nostalgia. Book stores will be next. https://twitter.com/... Barbara Crampton / @barbaracrampton : Amazon now owns the rights to FROM BEYOND. With this reboot renaissance could this mean something? https://twitter.com/... Justin LaLiberty / @jlalibs : While this *may* be great for streaming (time will tell), this could have major ramifications for physical media - highly recommend buying any MGM titles on disc that you've been holding out on https://twitter.com/... Rich Greenfield / @richlightshed : US Govt had no case to stop Amazon MGM $AMZN BIG win for consumers as more content will be coming to @PrimeVideo at NO extra cost https://twitter.com/... Jacob Knight / @jacobqknight : Buy all the physical MGM titles you can while you still can. https://twitter.com/... @amazonstudios : Can't wait to welcome MGM as a partner in our global home for talent and create compelling stories for customers all over the world! https://twitter.com/... Brandon Katz / @great_katzby : Interesting that Michael De Luca is not quoted in this 👀 https://twitter.com/... Ashley Carter / @ashleylcarter1 : Amazon has closed on its acquisition of MGM, the company said Thursday. The deal, first announced in May, includes MGM's catalog of more than 4,000 movies and 17,000 TV episodes as well as the James Bond and Rocky franchises. https://www.aboutamazon.com/ ... Sean Burns / @seanmburns : Well this can't be good. https://twitter.com/... Colin Chisholm / @colinhantsco : Now they just need to lock down those LOTR rights ($2 bil-ish) and they're off to the Middle Earth reboot races. (MGM had rights to The Hobbit, related characters) https://twitter.com/... See also Mediagazer
Context & Ripple Effects
Amazon’s MGM pursuit moved from talks for a major entertainment expansion to a formal $8.45B acquisition announcement in May 2021. The European Commission’s expected unconditional clearance, reported shortly before closing, removed the last cited regulatory obstacle.
The completed transaction turns Amazon’s proposed studio expansion into an owned business, while the EU regulator’s finding of limited overlap explains why no conditions were attached.
First-order effects
- Amazon completes the merger and brings MGM into its business rather than remaining a prospective buyer.
- The EU’s unconditional approval leaves Amazon and MGM without EU-imposed remedies tied to the transaction.
Second-order effects
- Amazon can proceed with the entertainment expansion contemplated when it announced the MGM purchase without needing to satisfy EU divestment or conduct conditions.
- The clearance narrows the immediate regulatory burden on the combined Amazon-MGM operation, even as the related coverage notes FTC scrutiny.
Third-order effects
- If regulators continue to view platform-and-studio combinations as having limited overlap, large technology companies may face a clearer path to acquiring entertainment libraries and production businesses.
- The deal places the competitive focus on how Amazon deploys MGM after closing, rather than on whether the merger itself is permitted.
The trend: Large technology platforms are using acquisitions to build entertainment capabilities, with antitrust outcomes shaped by whether regulators see direct business overlap.