Why is Amazon spending $ 8 billion on zombie studios?

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Amazon recently poured over $ 8 billion to MGM, the เกมเอ็กโอ studio best known for its James Bond and Roaring Lion logo. The acquisition is an opportunity for Amazon to turn spy movies into a multitude of benefits for its streaming service. But it's hard to believe that a billions drop for the studio's content library would help support Amazon's streaming service, at least in and of itself.Amazon has a fully functional studio that produces content for its Prime Video service, although there are a few hits here and there. But Jack Ryan immediately came to mind - most of the time, Amazon struggled to reach the enthusiasm of its audience at the Stranger Things level that its competitors are likely to like.

The company also owns IMDb TV, a kind of streaming service. It's free and contains ads, which is pretty good. Some of the service content looks a little outdated. But most curation feels as solid as it is to choose a free title, however, Amazon managed to take on a massive overhaul of the content.It will seem like a stupid thing in about five years.MGM brings great cinema quality to the table, although most of them are older. The studio's library includes the Bond, Legally Blonde and Rocky franchises, which are nothing else. It also owns a large catalog of series and retrospective films, including Tomb Raider, The Addams Family animated series, Candyman, Creed, Real Housewives,

The Handmaid's Tale and Fargo. These new titles sound like sequels and remakes." The real financial value behind the deal is a treasure trove of intellectual property, "said Mike Hopkins, senior vice president of Prime Video and Amazon Studios, in a statement.But while yes, there is an IP, it is unclear how valuable all of these are. Many of MGM's largest franchises are dated and have not yet owned the rights to Bond, the crown jewel. Additionally, many of MGM's original titles, such as The Wizard of Oz, no longer belong to the studio. (Warner Bros. now owns the rights to the iconic film.) MGM, while certainly iconic, is far from the top studios that make the wrought contemporary film.

It felt like they were following a playbook five years ago," Katharine Trendacosta, assistant director of policy and movement for the Electronic Frontier Foundation, told The Verge by phone on the $ 8 billion price tag, Trendacosta said. It looks like a stupid move in about five years - because that's not really the value of this. This IP Playbook that puts HBO in the current brand identity crisis under AT&T has left the scraps as far as the studio goes, the Playbook Amazon and other services are pulling, seem to point. But Amazon and other service-oriented companies for that matter are now picking up the bones.The company can pay billions from IP acquisitions for. But at this point, no one can compete with what Disney is building for a better time in two decades, and as Trendacosta points out, "We're running out of studios fast."

Every entertainment [property] is a streaming service, which means they think of themselves as a technology company, which is wrong.Nearly a decade ago, Disney acquired Lucasfilm, the studio behind the Star Wars movies, for just $ 4 billion. A few years prior to the Lucasfilm deal, the company made a similar payout to Marvel.In 2006, it paid more than $ 7 billion to acquire Pixar.Of course, none of the deals emerged amid the stream's top popularity. Ming But even considering the streaming bubble we have right now and the value of the franchise IP for attracting potential subscribers, the MGM deal still feels like a scam.

Hollywood plague Silicon Valley, although at this point we should know it doesn't work," Trendacosta said. "Every entertainment venue today is a streaming service, which means they think. That I am a technology company, which is wrong. Trendacosta adds that all of these services are performed in a four-step business model: Get IP, Do As Much As You Can, Put a Question Mark here. And reach the profit But that only works if the big plan is to be received. For smaller services like Discovery Plus or even Peacock, it makes sense, too. Just as we recently saw with WarnerMedia and Discovery, but the followings are not clear, especially for larger services.

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