The stock of Comcast Corporation (NASDAQ:CMCSA) closed at $41.17 gaining 1.23% in yesterday’s trading session. This company has been considering selling off its 45% stake in the Chinese movie studio, and rumors have been in circulation that Warner Bros is the expected buyer. The Chinese investment and media group, China Media Capital is the owner of the other 55% stake and the ever shifting business dynamics remain quite unpredictable.
Comcast’s NBCUniversal segment bought DreamWorks Animation for about $3.8 billion and it was around the same period that the inheritance of Oriental DreamWorks took place.
Time Warner Inc, which happens to be Warner Bros.’ parent company is in the meantime moving towards a proposed merger with AT&T Inc (NYSE:T).
Antitrust officials from 17 countries have approved the pending merger. It is at the moment awaiting other critically important approvals. Strategic differences between the two firms have been termed to be the most probable reasons behind this particular sale. China Media Capital is currently eyeing the Chinese market, whereas Universal Studios seems determined, now more than ever, to create films in China for an international audience.
Aside from the move targeted at expanding the provider’s Filmed Entertainment portfolio, NBCUniversal also has plans underway to reconstruct a number of its cable networks.
The company’s spokesperson opined, “Effective Sep 9, Sprout will be renamed Universal Kids and its programming will target kids between ages 2-11..Universal Kids will feature more unscripted programming, including Top Chef Junior.”
It goes without saying that the business climate is facing fierce business competition, and Comcast can’t afford to relax as was stated by one of its top executives. To counter competition, the company has been laying down a number of strategies which it is confident will help it maintain its position in world markets. If all goes as planned, it hopes to even climb higher.
The spokesperson admitted that indeed there had been through numerous challenges just like any other vibrant company. It might have taken time to resolve the challenges, but according to him they are currently in the right place.