Last month Netflix poached the co-heads of AMC Networks’ Scripted Programming, responsible for spinoffs of the hit series “The Walking Dead” and “Interview With the Vampire,” as well as Apple TV+’s new drama “Silo.” Executive poaching is nothing new or unusual. But the move raises a provocative question: Why didn’t Netflix simply buy AMC Networks, whose enterprise value is roughly $3 billion, or less than 2% of Netflix’s current market capitalization?

There’s a recent precedent for such a move. In March 2022, Amazon acquired MGM for $8.6 billion to merge with its Prime Video business, a deal that valued MGM’s library of video content at $3.4 billion. That library includes more than 4,000 film titles and 17,000 TV episodes, including the “James Bond,” “Rocky” and “Legally Blonde” franchises. Owned intellectual property is increasingly valuable as streaming services seek defensible, exclusive value propositions, or “moats,” amid competition from videogames, YouTube creators and free ad-supported TV services such as Pluto TV and Tubi.