A year ago, Amazon announced that it would invest $100 million in Pixar Animation Studios, the studio behind the hit animated film “Inside Out.”
The investment was part of a broader effort to create more innovative video content.
But Amazon has since faced criticism for its relationship with Pixar, with critics claiming that the company was using the studio as a PR tool.
Now, with Pixar’s Pixar Animation Lab at Amazon’s headquarters, the company is finally acknowledging that the relationship was a mistake and taking steps to address the problem.
“Amazon’s relationship with the Pixar Animation Studio has been a source of great concern for some of our employees,” said Ken Wiltshire, CEO of Amazon Video, in a statement to CNNMoney.
“As a result, we have started to take steps to develop a new partnership with the studio to develop and publish content for Amazon Prime Video.”
The new partnership will take Amazon’s Prime Video content production team, including Pixar Animation Labs, to Amazon’s Seattle headquarters.
“We’re very excited about the opportunity to partner with Amazon on this project and have a very deep understanding of the needs of our Prime Video customers,” Wiltsire said.
“The team at Pixar Animation labs is uniquely positioned to provide our Prime members with a wide range of content to develop, publish, and market.
This is an exciting new opportunity for us.”
The deal, which has been in the works for years, comes as Amazon is struggling to improve its video production capabilities.
The company recently launched its own production team and hired a team of top-tier producers.
But the company has also been working on several projects to help improve its content distribution, including its new “video content studio.”