Amazon has purchased veteran film studio MGM for $8.45 billion, which is a significant development in the streaming war.

With the announcement that it is purchasing veteran film studio MGM, Amazon is taking on streaming giant Netflix.

“Amazon has entered into a definitive merger agreement under which Amazon will acquire MGM for a $8.45 billion purchase price,” the company announced.

The move is significant for the video streaming market, which has seen rapid growth during the global Coronavirus pandemic's lockdowns.