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Item 7: Management’s Discussion and Analysis of Financial Condition and
Results of Operations
Introduction and Overview
We are a leading provider of entertainment, information and communication products and services. On Jan-
uary 28, 2011, we closed our transaction with GE in which we acquired a 51% controlling interest in the
businesses of NBCUniversal. As a result of the NBCUniversal transaction, we report our operations as the
following five reportable business segments: Cable Communications (previously our Cable segment), Cable
Networks, Broadcast Television, Filmed Entertainment and Theme Parks. The operations of our national cable
networks (previously in our Programming segment), our regional sports and news networks (previously in our
Cable segment) and certain Comcast Interactive Media businesses (previously in Corporate and Other) were
contributed to NBCUniversal and are now presented in the Cable Networks segment. The Cable Networks,
Broadcast Television, Filmed Entertainment and Theme Parks segments comprise the NBCUniversal busi-
nesses and are collectively referred to as the “NBCUniversal segments.” Additional information about the
transaction is discussed below under the heading “NBCUniversal Transaction.”
Cable Communications
We are one of the nation’s leading providers of video, high-speed Internet and voice services to residential
and business customers. As of December 31, 2011, our cable systems served 22.3 million video customers,
18.1 million high-speed Internet customers and 9.3 million voice customers and passed more than 52 million
homes and businesses in 39 states and the District of Columbia. Our Cable Communications segment gen-
erates revenue primarily from subscriptions to our cable services, which we market individually and in
packages, and from the sale of advertising. A substantial portion of our Cable Communications revenue
comes from residential customers whose spending patterns may be affected by prevailing economic con-
ditions. In 2011, our Cable Communications segment generated 67% of our consolidated revenue and 83%
of our operating income before depreciation and amortization.
Our cable systems allow us to deliver video, high-speed Internet and voice services to our residential custom-
ers and to small to medium-sized businesses. The majority of our Cable Communications segment revenue is
generated from subscriptions to these cable services. Customers are billed monthly based on the services
and features they receive and the type of equipment they use. Residential customers may generally dis-
continue service at any time, while business customers may only discontinue service in accordance with the
terms of their respective contracts, which typically have 1 to 3 year terms.
We offer a broad variety of video services with access to hundreds of channels, including premium networks
and pay-per-view channels, On Demand, music channels, and an interactive, on-screen program guide. Our
video customers may also subscribe to a higher level of video service, including our HDTV service and DVR.
Our video customers generally have the ability to view some of our On Demand content, browse program list-
ings, and schedule and manage DVR recordings online and through our mobile applications for smartphones
and tablets. In 2012, we began streaming certain live television programming online and through our mobile
applications in some of our markets. Our high-speed Internet services provide Internet access at downstream
speeds of up to 105 Mbps, subject to geographic market availability. Our high-speed Internet service for
business customers also includes a website hosting service and an interactive tool that allows customers to
share, coordinate and store documents online. Our voice services provide local and long-distance calling and
other features. Our voice service for business customers also includes a business directory listing and the
option to add up to 24 phone lines. Our business services also offer Metro-Ethernet data and cell backhaul
services.
43 Comcast 2011 Annual Report on Form 10-K