The $8.4-billion buyout would bolster Amazon Prime Video with some 4,000 films and 17,000 television shows

The European Union on Tuesday approved the purchase by Amazon of MGM studios, but the deal, which would boost the tech giant’s streaming ambitions, still needs to clear regulatory hurdles in the US.

The $8.4-billion buyout would bolster Amazon Prime Video with some 4,000 films and 17,000 television shows as it faces off with the likes of Netflix and Disney in a fast-evolving market.

The European Commission, which rules on competition issues in the EU, said in a statement that the proposed transaction would raise “no competition concerns” and “cleared the case unconditionally”.

According to reports, the US Federal Trade Commission is approaching a mid-March deadline of its own for making a decision on whether to approve the takeover.

In the deal for Metro Goldwyn Mayer, which has been through a series of ownership changes and bankruptcy in recent years, Amazon would acquire an iconic Hollywood name.

In addition to the James Bond franchise, MGM owns the rights to film productions including Rocky, Legally Blonde and Tomb Raider, and television shows such as The Handmaid’s Tale and Real Housewives Of Beverly Hills.