tutor2u | Backward Vertical Integration: Amazon acquires MGM Studios

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Backward Vertical Integration: Amazon acquires MGM Studios

Graham Watson

31st May 2021

So why have Amazon taken over MGM Studios? This article looks at the motivation behind the vertical backwards integration that has taken place.

In buying the studios, the pay-TV giant has acquired 4,000 film titles and over 17,000 hours of TV programmes but also gives the streaming service access to the rights to these programmes and the ability to invest in remakes and exploiting long-running series like James Bond.

The only thing that the takeover doesn't give Amazon access to are the 2,000 classic film titles that MGM have already sold to Warner Bros.

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