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Revision as of 15:52, June 11, 2007

NBC Universal is a media industry giant owned by General Electric and Vivendi. It has 230 affiliated stations, produces television programs, distributes motion pictures, operates 26 broadcasting stations and global cable/satellite networks, and owns theme parks. GE owns 80% of NBC Universal, while French Vivendi SA owns the rest of the 20%. Famous NBC Universal productions include 'Saturday Night Live', 'National Geographic', 'Today Show', and 'Deal or No Deal.' NBC Universal also owns film studio Universal Studios and has a majority stake in Universal Orlando.


Major Divisions

NBC Universal Television Stations

Includes 10 NBC television stations within the United States, 16 Telemundo stations, and one independent Spanish-language channel. These channels cover almost 1/3 of US households and generate $1.5 billion in advertisement revenue.
NBC is responsible for the production of programs including 'the Miss Universe Pageant', 'The Office', 'ER', 'Law & Order', 'Scrubs', 'Friday Night Lights', 'Deal or No Deal', and 'Day of Our Lives'. NBC also provides Olympics coverage, NBC News, and NBC Weather.

NBC Universal Digital Media

Concentrates on the distribution of NBC material through other means of technology such as the internet. In 2006, NBC acquired iVillage, a website ranked to be the greatest visited sight by women.

Universal Pictures

Creates and distributes theatrical and non-theatrical films on a global scale. Box-office successes include 'King Kong', 'Brokeback Mountain', 'Ray', 'A Beautiful Mind', 'The Pianist', and 'Lost in Translation'.

Universal Studios Home Entertainment

In charge of transferring productions into home-catered products such as DVDs.

Universal Parks and Resorts

NBC Universal fully owns Universal Studios Hollywood, and partly owns Universal Orlando, Universal Studios Japan, and Universal Mediterranea.

Trends and Forces

Copyright Infringement

Youtube has brought up several issues concerning copyright breaching as individual users can freely upload a video. This poses, as does DVD piracy in China, a major threat to NBC's profits.
In June 2006, NBC struck a deal with Youtube to share promotional videos of artists, a step towards thwarting the issue of copyright material being uploaded onto Youtube. In December 2006, it was rumored that FOX, NBC, CBS, and Viacom would partner to create a similar website to Youtube in order to compete against the now Google-owned video sharing website.

Spanish Speaking Population

NBC Universal has emphasized through its Telemundo programs Hispanic speaking customers. Observing that there is a rise in the number of immigrants within the United States, Spanish speaking customers are on the rise, thus making the decision to provide substantial Spanish programs wise. Recently, however, the United States government is working to resolve the issue of illegal immigrants, a move which could, for some time, cause the number of Hispanic-speaking viewers to decline.

TV viewing statistics

Thanks to the rise in popularity of the internet, several individuals now watch TV through network sites or Youtube. During the month of April, NBC experienced the lowest number of viewers in 20 years. Investors should carefully follow the trend of viewers.

Competitors

TV

image:Tvrevenue.jpg

NBC's main competitors on TV services include CBS Corporation, Fox Entertainment Group, and ABC (Owned by the Walt Disney Corporation). The viewer ranking of individual networks for the week between April 30 2007 and May 6 2007:

1) American Idol Wed - FOX - 28.75 Million Viewers
2) American Idol Tues - FOX - 26.73
3) Grey's Anatomy Thu - ABC - 21.23
4) House Tues - FOX - 21.12
5) CSI - CBS - 19.02
10)Without a Trace - CBS - 14.71
20)Deal or No Deal Mon- NBC - 12.09

The ranking above is an accurate representation of the average number of viewers per network. NBC ranks fourth behind all its main competitors.

Film

image:filmshare.jpg

In this industry, Universal Studios (NBC) competes with Columbia Pictures (Sony), Warner Bros. (Time Warner), Buena Vista (Disney), and 20th Century Fox (News Corporation).
Respective major films include:

Columbia: Spider Man, The Da Vinci Code, Hitch.

Warner Bros: Harry Potter, The Matrix , 300, Batman.

Buena Vista: Pirates of the Caribbean, Cars, The Incredibles, Monsters Inc., Finding Nemo.

20th Century Fox: Star Wars, Night in the Museum, X-Men.

Universal Studios: Meet the Fockers, Bruce Almighty, The Mummy Returns.

Online

On the online level NBC leads in the number of visitors. Within the individual programs, however, American Idol, a FOX product, commands the greatest popularity.

NBC's major exposure on the internet comes from ivillage, which NBC acquired for $600 million. In regards to women-oriented websites, ivillage has successfully held the top spot though it has experienced a decline in visitors in comparison to 2005.

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