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Amazon's strategy is to be a smarter GE, by expanding into new areas that feed power into the Amazon flywheel. EA would give them control over a core library o
by ethbr0 4y ago
Amazon's strategy is to be a smarter GE, by expanding into new areas that feed power into the Amazon flywheel.
EA would give them control over a core library of content and IP, that they could use to (a) ensure continued access into home consoles for their other products, (b) run as a game on demand service attached to Prime, or (c) make exclusive to launch their own console.
And it seems like the sort of business Amazon likes: good profit margin trend line, but more valuable within the Amazon ecosystem than outside it.
- samwillis 4y agoCompletely agree, there are synergies in these acquisitions, but it's also the breadth of them as well. Amazon has become a very broad business with vast distances between business units, but with a thread of related interested between them. Much like GE really, GE is routed in "old school" engendering, and thats the synergy that connects the relatively unrelated business it owns. For Amazon that synergy is the Internet, if it uses the internet then thats enough of a connection if the financials make sense.
- bluedino 4y ago>> Amazon's strategy is to be a smarter GE I was thinking Mitsubishi. Powerplants and ships would be helpful to them.
- criddell 4y agoThey could also use that IP to produce movies and television.