Amazon Reportedly Under Antitrust Review From FTC for $8.45 Billion USD Acquisition of MGM
There is a chance the deal could be blocked.
In light of the recent landmark deal that saw Amazon acquire MGM studios for $8.45 billion USD, the Federal Trade Commission is reportedly reviewing the tech company’s purchase proposal.
According to The Wall Street Journal, the new FTC chairwoman Lina Khan, who has previously been critical of the online giant’s expansion, will be at the helm of the antitrust review. Just last month, Amazon announced its deal with MGM, which is set to help boost its Prime Video streaming platform to compete against rivals like Netflix and Disney+. With over 4,000 films and a broad television catalog, fans can expect the deal to bring the James Bond franchise, The Hobbit Franchise and TV shows like Shark Tank, Fargo, Vikings and The Handmaid’s Tale to the streamer.
The FTC has expressed their doubts regarding the merger and should there be any further uncertainty, there could be a chance that the deal can be blocked. If the deal goes on as it is intended, Amazon would be making its second-biggest purchase ever. The news of the FTC crackdown comes just as Amazon has been dealing with a slew of public scrutiny regarding its business practices.
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