(RTTNews) - Amazon.com Inc. plans to spend more than $1 billion annually to produce movies that will get a theatrical release, Bloomberg reported, citing people familiar with the matter.
The online retailer giant, which acquired movie maker MGM Studios earlier this year for $8.45 billion, is likely to produce between 12 and 15 movies each year for movie theaters.
As per the report, the company will release a smaller number of films in theaters in 2023, and will increase the numbers over time.
Amazon already offers original content through its Prime Video streaming unit and movie and television studios. The company reportedly spent $13 billion in 2021 on content for its video and music streaming services, while the investment was $11 billion in 2020.
The company previously had a limited release of its movies in theaters, with the premiere of the first two episodes of its Lord of the Rings series.
It is expected that a film commitment for theaters from Amazon would boost the movie industry, which is struggling to move foreward after Covid pandemic struggles.
