Why Amazon Just Spent a Fortune to Turn <i>Lord of the Rings</i> Into TV
Amazon has acquired the television rights to J.R.R. Tolkien’s fantasy series The Lord of the Rings. With this deal, which industry publications estimate at being worth $250 million, Amazon can use the classic Middle-earth mythology as a canvas for several different TV shows, including backstories of beloved characters like Aragorn.
The gargantuan deal is perhaps the most important event in the history of Amazon’s television business. It carries major implications for the streaming wars with Netflix, Hulu, and (soon) Disney, as well as critical lessons for business strategy in an age of content abundance.
First, the deal signals an abrupt turn for Amazon. Five years ago, and , the company’s slate is full of minor hits, like , and a lot of outs. Complicating matters, in October, the company’s head of film and television, Roy Price, quit amid several allegations of sexual harassment.
