EU Gives Amazon the OK for the $6.5B MGM Deal

European Union antitrust officials have given the green light to the Amazon proposal to buy storied movie studio MGM, The Wall Street Journal reported Tuesday (March 15).

This marks an important step in Amazon’s quest to purchase the studio, with a deadline quickly approaching for the U.S. Federal Trade Commission (FTC) to also make its decision.

The deadline for the EU’s approval was March 15, and according to the European Commission, the deal has been approved without conditions.

The commission said this deal wouldn’t reduce competition — a prime concern for the deal — because the two companies don’t necessarily overlap a lot in content production. Because of that, MGM’s content isn’t really considered a “must-have.”

The deal was announced last May and would see Amazon taking control of MGM’s historic film and TV catalog. The buy would include the James Bond movies, and the move would come with Amazon also getting more of a foothold with its Prime Video subscription service, positioning it to compete with rivals like Netflix.

The reports say Amazon has effectively, if not officially, given the FTC a March deadline, as if the FTC doesn’t file a legal challenge before the deadline, then Amazon will be able to move forward with the deal.

Per the report, Amazon’s challenges with antitrust issues, as have arisen among other Big Tech companies, bring questions about whether they have too much influence.

PYMNTS wrote about the issue of the “deadline,” saying that Amazon had told the FTC in early March that it had given all the information needed by antitrust investigators.

See also: Amazon Data Certification Sets Deadline for FTC to Rule on MGM Deal

Because of that, the FTC reportedly would have to make a choice on whether to challenge the buy or let it move forward without interference. However, even if the deal doesn’t work out, Amazon could face trouble because of the FTC’s ability to challenge mergers after they close.