Amazon fixin' to buy MGM

112 views
Skip to first unread message

Bob Jersey

unread,
May 17, 2021, 7:34:54 PM5/17/21
to TVorNotTV
For about $9bil, sources told Variety... the venerable studio's been on the block since December...


B


Tom Wolper

unread,
May 19, 2021, 12:43:30 PM5/19/21
to TV or not TV
On Mon, May 17, 2021 at 7:34 PM 'Bob Jersey' via TVorNotTV <tvor...@googlegroups.com> wrote:
For about $9bil, sources told Variety... the venerable studio's been on the block since December...


The venerable studio became a real estate business in the late 60s. They were happy to sell their logos and trademarks as well as rights to the MGM film library.

Kevin M.

unread,
May 21, 2021, 10:43:44 PM5/21/21
to tvor...@googlegroups.com
There could be a monkey-wrench in the Amazon deal. His name? Bond… James Bond 


--
You received this message because you are subscribed to the Google Groups "TVorNotTV" group.
To unsubscribe from this group and stop receiving emails from it, send an email to tvornottv+...@googlegroups.com.
To view this discussion on the web visit https://groups.google.com/d/msgid/tvornottv/CAJE-FiEm6zkxiWw%3Dw%2B7EiZeher61B9dEmq4DdEnpE69YDW%3D%3DWA%40mail.gmail.com.
--
Kevin M. (RPCV)

Bob Jersey

unread,
May 22, 2021, 8:59:41 AM5/22/21
to TVorNotTV
There is this lovely cottage, in the middle of a field between Easton and Bethlehem, which is used as a conference center by one of the local hospitals.

Dammit, lock Broccoli and Wilson, MGM's De Luca and 'Zon's Hopkins in the damn place, and don't let them out till they reach an agreement.

B

Kevin M, to Tom Wolper, May 21st:

PGage

unread,
May 22, 2021, 10:34:02 AM5/22/21
to tvor...@googlegroups.com
So when you first hear Amazon wants to buy MGM, you assume it is to get James Bond. Makes sense; streaming is about content, and there is no film content as consistently attractive as Bond. But this article hints at something else. Amazon is valuing MGM at around $4 BILLION more than anyone else; that’s got to be more than just a disagreement over how many streams Goldfinger will generate.

I can see Amazon paying a premium for reliable franchise content (Disney became the second biggest player in streaming overnight). But this only makes sense if it buys unrestricted rights to exploit Bond, and even then, perhaps some additional value not readily apparent

It is possible Amazon has someone locked up they want to be the next Bond. Also (as suggested in this article) they may have a plan to do to Bond what Disney is doing to SW and MCU and spin off episodic series (Maybe a show about Moneypenny or Q, or other Double Os). Any extra Bond based appeal would require the cooperation of the Broccoli family, which is unpredictable, and does not seem like the basis for an extra $4B bet (though maybe the extra cash is the incentive to get them to sign a blank check up front in licensing).

But I wonder if Amazon is also seeing content value in other parts of MGM. The article says MGM produces  The Voice and Survivor (which seems surprising to me). These seem like the kinds of content a streamer like Amazon would love to have some kind of special relationship with, as they offer chances for cross promotion and exclusive bonus features. 
--
Sent from Gmail Mobile

Mark Jeffries

unread,
May 22, 2021, 3:10:19 PM5/22/21
to tvor...@googlegroups.com
MGM bought Mark Burnett's production company and then put him in charge of television in the hopes that he would spawn the next big reality hit. That hasn't happened yet.  His attempts at faith-based scripted programming failed, his LightTV subchannel was sold to Byron Allen who replaced it with the Black-oriented GriotTV (with Gizmodo Media) and though he claims responsibility for the prestige scripted shows "Handmaid's Tale" and "Fargo," most people say no.

To view this discussion on the web visit https://groups.google.com/d/msgid/tvornottv/CAKGtkYLjS%2BNOpR4Tq-tSqHtLvk1SXcd8tP8uC%2BXJ8fRdLHRCcQ%40mail.gmail.com.

PGage

unread,
May 22, 2021, 3:34:09 PM5/22/21
to tvor...@googlegroups.com
But does MGM own the rights to HT and Fargo now through him?

Diner

unread,
May 23, 2021, 8:48:04 AM5/23/21
to TVorNotTV
And as this article points out - 
"Broccoli’s heirs and Eon’s chiefs, Barbara Broccoli and her half-brother Michael G. Wilson, still have final say on everything from the film’s marketing and distribution plans to whoever will slip into Bond’s tuxedo when Daniel Craig hangs up the role."

I recall that the studio wanted Clive Owen to play Bond in "Casino Royale," but Eon insisted on Daniel Craig, and what they say goes.

Mark Jeffries

unread,
May 24, 2021, 7:26:53 PM5/24/21
to tvor...@googlegroups.com
Nope.  They were in development before he took over.  More responsibility should be given to former NBC exec Warren Littlefield, whose production company makes them for MGM.

And it should be pointed out that Burnett never owned his biggest hits outright--CBS owns big pieces of "Survivor," "The Voice" is co-produced by Warners and ITV (the latter owns the format after buying out John DeMol's Talpa Media) and Sony controls the "Shark Tank" format.  And "The Apprentice" was co-owned by Donald J. Trump.

To view this discussion on the web visit https://groups.google.com/d/msgid/tvornottv/CAKGtkYKYZN4jw%2Bh7FezX-2EUPgYZFFE6iLnvZ1ghM0qbW%2ByS4A%40mail.gmail.com.

PGage

unread,
May 26, 2021, 9:01:47 AM5/26/21
to tvor...@googlegroups.com
And the deal is now done - final price a bargain ay $9.45 Billion. 

This does include Fargo and Handmaid’s Tale. 

The article does explicitly quote Mike Hopkins, senior VP of Prime Video and Amazon Studios as saying: “The real financial value behind this deal is the treasure trove of IP in the deep catalog that we plan to reimagine and develop together with MGM’s talented team.”

This does confirm for me that the streamers are seeing that Disney has established that the way to succeed is to establish as anchors a few popular film franchises, not primarily to rerun, but to spin off serialized television programs.

The price (almost double what MGM was valued at by other suitors) to me has to mean that the Broccoli’s have either surrendered their control over the use of Bond, or agreed to allow MGM to develop several Bond-based series, though this is not mentioned in the article.



PGage

unread,
May 26, 2021, 9:37:25 AM5/26/21
to tvor...@googlegroups.com
The NYT article has a little more background info. It restates the Broccoli’s continued control of Bond development - though I still suspect their agreement to letting Amazon do that had to be part of such a hefty price. They also remind that in the new age of multiple streamers, studios are charging a hell of a lot more for content than they very recently did (something Netflix foresaw a long time ago). 

But they point out a reason MGM content would be worth more to Amazon than to other streamers: Prime. Not the monthly fee, but the fact that customers with Prime buy about $3000 more stuff every year from Amazon than those without. If Bond got Amazon ~150,000 more Prime Members, Amazon could make almost half a billion dollars more each year, making up the premium for MGM in under a decade. No other streamer has a revenue multiplier like that.

The NYT also points out that one reason Amazon bought MGM is “because it can”. Amazon has “$71 billion in cash and a market capitalization of $1.64 trillion.” They can almost get the cash for the full price by making an ATM withdrawal.


Mark Jeffries

unread,
May 26, 2021, 9:59:23 AM5/26/21
to tvor...@googlegroups.com
Confidential to Colbert (more likely Brian Stack): The films you mentioned last night aren't owned by the present day MGM.  They're owned by Stack's previous bosses at what may be Warner/Discovery.  (Yeah, Stack's paycheck was probably from Conanco, but still...)

To view this discussion on the web visit https://groups.google.com/d/msgid/tvornottv/CAKGtkYJx0MLFxB3_wTBYdVM%3DNbLyVpTMa819DozbcG67V6vhKw%40mail.gmail.com.

Joe Hass

unread,
May 26, 2021, 11:27:05 AM5/26/21
to tvor...@googlegroups.com
On Wed, May 26, 2021 at 8:37 AM PGage <pga...@gmail.com> wrote:
The NYT also points out that one reason Amazon bought MGM is “because it can”. Amazon has “$71 billion in cash and a market capitalization of $1.64 trillion.” They can almost get the cash for the full price by making an ATM withdrawal.




Yeah, but then they'd have to pay the extra $5 for an off-network ATM. 

PGage

unread,
May 26, 2021, 3:52:26 PM5/26/21
to tvor...@googlegroups.com
And the LAT, protecting its turf, has the best single piece on this story. 


Bob Jersey

unread,
May 26, 2021, 4:12:40 PM5/26/21
to TVorNotTV
The ol' Dog Trainer letting folks log in with their social creds... was that done back when COVID shutdowns occurred?   B

PGage, May 26th:

Adam Bowie

unread,
May 26, 2021, 5:01:43 PM5/26/21
to tvornottv
On Wed, May 26, 2021 at 2:37 PM PGage <pga...@gmail.com> wrote:
The NYT article has a little more background info. It restates the Broccoli’s continued control of Bond development - though I still suspect their agreement to letting Amazon do that had to be part of such a hefty price. 

I'm really not at all sure that this will be the case. They've been so careful over the years with the Bond franchise that I just don't see them bending over and letting Amazon do what they want with it. I'm not even sure that they really think of MGM as part-owners (even though they are) - more a way to help finance the movies. So if Amazon wants to do a "Lord of the Rings" or "Game of Thrones" with Bond, then they're going to need to do some serious persuasion with the Broccolis. 

Overall, I'm fascinated that a studio like that can be worth so much to Amazon. For them to get value out of it, I would suggest they seriously need to clean up their interface so that you can actually find things. While I'm not familiar with some US-only streamers like HBO Max and Peacock, Amazon's interface is a mess and it's hard to navigate. They're especially bad at surfacing stuff that's in their catalogue. And there's so much dross in there that has obviously been acquired super-cheaply, that gets in the way.


Adam

Bob Jersey

unread,
May 26, 2021, 9:25:06 PM5/26/21
to TVorNotTV
Senator Klobuchar wants Justice to examine the deal... as the DC atty general brings an antitrust action v 'Zon...


B

Moi, May 17th:

Doug Eastick

unread,
May 26, 2021, 10:05:05 PM5/26/21
to tvor...@googlegroups.com
I didn't see mentioned on the list yet.... but my twitter feed is giddy that Bezos will now have MGM, which owns all the tapes to The Apprentice, including the stuff edited out where Trump (allegedly) says bad things.






--
You received this message because you are subscribed to the Google Groups "TVorNotTV" group.
To unsubscribe from this group and stop receiving emails from it, send an email to tvornottv+...@googlegroups.com.
To view this discussion on the web visit https://groups.google.com/d/msgid/tvornottv/7b604306-dff7-428b-98a2-076495dddb63n%40googlegroups.com.


--
Doug Eastick <eas...@mcd.on.ca>

Dave Sikula

unread,
May 27, 2021, 12:55:36 AM5/27/21
to TVorNotTV
This is where it all falls apart for me. MGM was sold for parts by Kirk Kerkorian decades ago. What's left is mostly junk.

What Bezos is buying is the name and the cachet that used to be attached to it, despite that most of what MGM turned out in the studio era was over-produced pap that reflected the dubious tastes of Louis B. Mayer. This isn't to say that there's not a lot of good stuff that was produced then; but it was in spite of Mayer, not because of him. Warners owns the good stuff and will hold on to it.

--Dave Sikula

PGage

unread,
May 27, 2021, 1:28:14 AM5/27/21
to tvor...@googlegroups.com
Well, “Good Stuff” is subjective (aesthetically I tend to agree), but in terms of content that has high monetizing potential, pretty clearly, no. And not just Bond, but lesser quality properties like Legally Blonde and Rocky could be developed into popular programming.

--
You received this message because you are subscribed to the Google Groups "TVorNotTV" group.
To unsubscribe from this group and stop receiving emails from it, send an email to tvornottv+...@googlegroups.com.

Mark Jeffries

unread,
May 27, 2021, 9:01:09 AM5/27/21
to tvor...@googlegroups.com
And the center of MGM's holdings are the products of Arthur Krim at United Artists and later Orion, which shook up Hollywood by letting indie producers play with the big boys and let them make what they wanted.  The 60s-80s UA/Orion output probably contains more acknowledged classics than any other studio's output at the time and beyond has titles any studio would like to have.

To view this discussion on the web visit https://groups.google.com/d/msgid/tvornottv/CAKGtkYKaHH9mfjR8oaZAfQ_9rt1uv1pD%2BpWLSmAE2ff9G28aAQ%40mail.gmail.com.
Reply all
Reply to author
Forward
0 new messages