Sen. Elizabeth Warren known as for “meticulous antitrust scrutiny” of Amazon’s $8.5 billion acquisition of MGM Studios, warning that it may crush competitors.
“Amazon’s proposed acquisition of Metro-Goldwyn-Mayer Studios (MGM) may hurt shoppers and employees and scale back innovation by inhibiting competitors in quite a few markets,” the Massachusetts Democrat wrote in a Tuesday letter to Federal Commerce Fee Chair Lina Khan.
The newly confirmed FTC head, a famend huge tech opponent, is already reportedly investigating the transaction, Amazon’s largest acquisition because it purchased Entire Meals for $13.7 billion in 2017.
The MGM deal would give the Seattle-based e-tailer headed by Jeff Bezos management over MGM’s library of greater than 4,000 movies and 17,000 hours of tv, together with “The Handmaid’s Story,” the James Bond and Rocky film franchises and actuality reveals “Shark Tank” and “The Apprentice.”
An Amazon spokesperson informed The Publish that purchasing MGM will present extra option to shoppers by bolstering competitors amongst producers of movie and tv. However Warren slammed the acquisition as a part of a broader sample of anti-competitive conduct by Amazon.
“I urge you to make use of the FTC’s broad authority beneath this regulation to evaluate the potential anticompetitive results this deal could have on streaming companies and leisure merchandise along with the broader impacts that this transaction could have on employees, small companies, and competitors total as Amazon — which is already the dominant e-commerce agency — accelerates its aggressive monopolistic conduct,” Warren wrote in her letter to Khan, which was first reported by the Verge.
Amazon is primarily an e-commerce firm, however has branched out into media lately. The corporate not too long ago inked an $11 billion take care of the NFL to grow to be the brand new residence of “Thursday Evening Soccer.”
Amazon’s Prime membership program — which incorporates streaming content material from Amazon Prime video — at present has about 150 million members within the US.
The FTC has reviewed a slew of massive media offers lately, together with Disney’s $71 billion acquisition of twenty first Century Fox and AT&T’s $85 billion merger with Time Warner, which the division unsuccessfully tried to dam in courtroom.
With Will Feuer and Alexandra Steigrad