Amazon, which recently acquired MGM, will invest $1 billion to produce 12-15 theatrical movies every year, according to a report by Bloomberg.

We are now getting more clarity on Amazon plans for film studio MGM that it acquired earlier this year for roughly $8.5 billion.

With the MGM acquisition, Amazon got the joint rights – with EON – to existing and new James Bond movies as well as other franchises.

Amazon is planning to release a smaller numbers of theatrical movies next year and scale up gradually over the coming years. An annual investment of $1 billion would be close to Universal and Warner Bros' annual budgets.

The long-term goal for Amazon is to produce between 12 and 15 theatrical films annually. It is not clear how long the movies will play exclusively in theaters before getting their debut on Amazon Prime Video.

If plans play out as Bloomberg claims, Amazon stands to become on the major players in Hollywood movie production alongside Disney, Netflix, Paramount, Sony Pictures, Universal and Warner Bros.

- Source: Bloomberg