In shocking news this morning, it was reported that AMC had been in buyout talks with Amazon. With all of their theaters shut down and all employees (including executives) currently furloughed, AMC is certainly in a desperate position. While their path was seemingly headed towards bankruptcy, it seems a buyout is a more likely outcome at this point.|
Amazon has been attempting to compete with Netflix in what has seemed like a half-assed attempt over the last few years. They have certainly produced some quality content (Mrs. Maisel is superb!) and garnered quite a few awards in the process, but owning a delivery mechanism would certainly one-up the king of streaming. Speaking of Netflix, I wouldn't put it past them to also vie for a theater chain as all of them have been struggling during quarantine.
With Amazon owning "Amazon Studios", it falls in sort of a gray legal area, considering the Paramount Consent Decree which prohibits studios from owning theater chains. That said, the department of justice had filed to review it and possibly overturn it; opening the door for studios to once again own the theaters where you watch their movies. This was prohibited all the way back in 1938 due to monopolistic concerns.
Amazon may not be Disney, Warner Bros or Universal, but they are certainly a producer. Hey, maybe we'll end up with those names in place of AMC, Cinemark and Regal. Do you want to take a guess at when was the last time the studios bought up all the theaters? If you guessed "right after a global pandemic", then you'd be correct!
JoseQ's Look at this Thing
It looks like history may repeat itself in this country in more ways than one. A bad response to a pandemic and economic practices that affect consumers in a negative way. If you thought Amazon was really big already, be prepared for it to become bigger, and along with that, Jeff Bezos to become even richer. A single person having too much money and power is never a bad thing, right?