Amazon plans entry into the cinema business
Author: Osman Cetinkaya
Eventual takeover of the US cinema chain Landmark Theaters
Screen and cinema chairs instead of Prime Video and Sofa: Does Amazon take the plunge into the cinema industry? According to insiders, Amazon should have strong interest in the purchase of the US cinema chain Landmark Theaters. However, the current owners of the chain, Mark Cuban and Todd Wagner, have not yet made a firm decision, which means that the plan of Amazon could still fail at any time.
The step into the cinema world is logical for Amazon. The company has been producing its own films and series for some time now, and broadcasted them on their own streaming service Prime.
50 US cinemas belong to the chain Landmark. Including big cities like New York, Philadelphia, Chicago, Los Angeles and San Francisco. The cinemas’ program consists mostly of indie films and productions from around the world.
Unlike ordinary cinemas, the Landmark Theaters offer a luxurious ambience, largely because they are integrated into special and unusual luxury locations and offer their visitors additional cafes.
Investors are excited about Amazon’s idea: “The idea behind this is probably to get a wider distribution for films. Netflix has also been in talks as a potential buyer of Landmark” told Leo Kulp, analyst of RBC Capital Markets to Bloomberg. He is very pleased that Amazon wants to lure the movie fans away from the sofa and to give films something special again.
Unlike competitor Netflix, Amazon has been planning for some time, to offer experiences in the cinema again instead of just the pure streaming service: For example, Prime customers had the opportunity wo watch the films “Jumanji” and “Hotel Transylvania 3 – A monster holiday” two weeks before the official start in the cinema.
The Amazon Empire of CEO Jeff Bezos is now able to offer their customers every kind of consumer goods. Amazon also has its own service for food and logistics. The second largest company in the world, behind Apple, is a master of diversification. In the UK are currently discussions if Amazon enters the insurance business.