Since 2011, when its acquisition of NBCUniversal finally closed, Comcast has controlled a substantial array of integrated media properties in addition to its existing communications holdings. Content is king in the entertainment industry, underscoring the importance of the company’s ownership of NBCUniversal. Film, cable networks, and theme parks are among the diversified products under this umbrella. Though the company’s cable communications operations will likely continue to drive company results forward for years to come, the ability to produce and distribute original and licensed entertainment offers the company flexibility as the media ecosystem evolves to a more digital environment. Comcast also owns the NBA’s Philadelphia 76ers and the NHL’s Philadelphia Flyers, as well as their home arena, the Wells Fargo Center.
Regional Control
The barriers for entry in the telecommunications space are prohibitively high due to government policies. Therefore, Comcast operates as a virtual monopoly in many of its regions. This explains why Google (GOOG) has had such a difficult time expanding its burgeoning fiber-optic network into new regions. The result of these inflated costs that new entrants face amounts to regional monopolies. And despite public clamoring for improved high-speed internet infrastructure across the nation, these pre-deployment barriers will likely support the stranglehold companies like Comcast boast over regional competition for years to come, until local and national governments decide otherwise.