If and when those rights expire, however, that'll be when the change of platform occurs, and any future projects within The Handmaid's Tale universe, such as the upcoming Testaments TV series, will almost certainly debut on Amazon Prime Video. Certainly in the short-term, Offred and the gang will remain on Hulu.

The Handmaid's Tale is a Hulu original and has an existing arrangement to exclusively stream the Margaret Attwood dystopian adaptation, which Amazon's purchase of MGM doesn't immediately change. is not only complicated, but changes on a case-by-case basis. The fate of new Amazon acquisitions that presently stream on Netflix, Disney+, Hulu, etc. However, in the case of the MGM transaction, this type of methodology is thrown out the window.Related: Handmaid's Tale: June's Escape Can Fix Two Of The Show's Biggest Problems Expenses like sales fees, G&A and profit participations and residuals are deducted, and the sum of the cash flows are discounted back to present value and then a residual value is added. This is very time consuming.Īn average sale prices is gathered for new titles and then the sales history is analyzed to determine a deflator based on what each title gets on renewal versus its sale in the previous cycle.

Titles are sorted into groups, A, B, C, D and then the appraiser has to figure out where the film is in the sales cycle in each territory, for each window (Pay TV, Free TV, etc.). Historically, film library valuations have been very complicated and tedious. It’s unclear whether Epix, the Premium TV channel owned by MGM will stay on the air after the merger. Old library titles which are licensed to TV stations all over the world are unlikely to be renewed and will become exclusive on Prime Video. The model with Amazon will likely be much different, with movies produced that are clearly targeted at their Amazon Prime customers.

This deal is the reverse of how most film deals work, with most studios taking on partners that have most of the risk on the film, with the studio taking a hefty fee off of the top. Most movies do not make money and studios have to structure deals carefully so that they own most of the upside on franchise films (MGM, unfortunately, has a partner on its most popular franchise the James Bond films, the family of Albert Broccoli, which has final say on distribution and marketing decisions and receive 50% of the profits).

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