How the epic 'Lord of the Rings' deal explains Amazon's slow-burning media strategy And not to be ignored, Apple was also in on the negotiations to acquire the rights for the upcoming TV show, according to people familiar with the matter. The Tolkien estate was convinced that in promoting the series, Amazon could sell truckloads of Tolkien's fantasy novels, including "The Hobbit" and "The Silmarillion" as well as "The Lord of the Rings." During meetings with the Tolkien estate and publisher HarperCollins, Amazon's Sharon Tal Yguado, who was hired from Fox in 2017, demonstrated a near encyclopedic knowledge of Tolkien's characters, stories and geography, said the people, who asked not to be named because the talks were private. "Amazon hasn't gotten to the place yet where it has put together all of the levers that would make the video opportunity great," said Fred Seibert, the founder of independent production studio Frederator Networks, which is launching the animated show Costume Quest on Prime Video on Friday. "But five years from now, they're going to be one of the giants in media. There's no doubt about it." "We view them as a partner," Hirsch said. "We have a wonderful relationship with Amazon, and it's gotten stronger. We've been very successful in terms of driving customers to their platform, and they've been great partners in helping us grow digitally." There's no questioning Bezos' willingness to up the ante. He's got an increasingly healthy balance sheet - net income tripled to $10 billion in 2018. And investors have given him plenty of rope when it comes to spending. Price's division also had some expensive misfires, such as Spike Lee's 2015 film "Chi-Raq" and a disastrous five-year movie deal with Woody Allen, who's now suing Amazon Studios in a $68 million breach-of-contract lawsuit. 'All-out war'
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