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NBCUniversal is one of the world’s leading media and entertainment companies. They lead in the development, production and marketing of entertainment, news and information to a global audience. (Who We Are, 2016, para.1)
NBCUniversal is owned by Comcast Corporation, which is the largest media conglomerate in the US. “NBCUniversal owns and operates a valuable portfolio of news and entertainment television networks, a premier motion picture company, significant television production operations, a leading television stations group, world-renowned theme parks, and a suite of leading Internet-based businesses.” (Who We Are, 2016, para.2)
NBCUniversal tells stories, presents information and entertainment with their ownership and operations of several different businesses, making a specific concentration of ownership on their company. This results in popular TV Shows, Movies, and even news about celebrities like Kim Kardashian. With this concentration, it has given the company many opportunities. On March 31, 2016, NBC Sports Group garnered 28 Sport Emmy Award Nominations. These nominations included 10 nominations for its NFL coverage, five for its coverage of horseracing’s Triple Crown, and three for its first season of NASCAR coverage. (Newsroom, 2016, para.1)
This award nominee company uses horizontal integration quite often, in order to make better profits, which they have done perfectly. In 1996, NBCUniversal merged with Microsoft to create MSNBC. This broadcasted in the US as well as Europe, Canada, Africa, and the Middle East. This Technology Company and Media Company wanted to merge for a specific reason. “There’s going to be some kind of marriage between television and computers, and here is the logical time to do it.” (Rosenbaum, 1996) (Garber, 2012, p.1) In the weeks leading up to the launch of MSNBC, slogans like, “NBC News and Microsoft will revolutionize the way you get news.” Although the broadcast was basically the same as any other news channel, it brought in more viewers because of their specific meaning of merging. With more viewers meant more money, which meant more profits for both of these companies.
The merge between NBCUniversal and Microsoft is an example of not only horizontal integration but synergy. They do this again in 2013 when NBCUniversal signed to a 5 year long partnership with Legendary Entertainment. This partnership includes a production, co-financing and distribution deal. With this partnership, Legendary Entertainment served as the co-producer of films like The Dark Knight and The Hangover Part 3. (Our History, 2016) These movies brought in over a billion dollars each, increasing the effectiveness in business between the two companies. Without the partnership or working together, it would be assumed that these movies wouldn’t have brought in as big of a profit.
While researching NBCUniversal, many popular shows, movies, and even theme parks were recognizable. It was surprising that certain shows broadcasted on E! Entertainment were a production from NBCUniversal as well as another company. In 2014, NBCUniversal agreed to a long term deal with World Wrestling Entertainment Inc. This resulted in shows on Syfy, USA, and specifically E!. The show Total Divas provides an inside look of the lives of women working within WWE to their personal lives. This show alone, drew 1.34 million viewers on the premiere episode. As said before, more viewers means more money, which means more profit for both of these companies.
After researching NBCUniversal and all they owned, co-owned, and everything in between, it was easy to understand the connections between each division, and how each division supports the company’s concentration of ownership.
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