Company Overview

Vivendi Universal is a media and telecommunications group that operates through a portfolio of assets in six principal segments: Cegetel Group, Universal Music Group (UMG), Vivendi Universal Entertainment (VUE), Canal+ Group, Maroc Telecom and Vivendi Universal Games (VU Games). The Company's businesses have a large number of global and local brands, including Universal, USA Network, Canal+ and SFR brands, as well as UMG's music labels, including Island/Def Jam, Interscope/Geffen/A&M, Verve and Deutsche Grammophon. Vivendi, which originally operated as a water company, was formed through the merger of Vivendi S.A., The Seagram Company Ltd. and Canal+ S.A. in December 2000. Overview from Reuters.com

Key Competitors:

Suez - a utility operations company

Time-Warner - a media conglomerate

Viacom - a media conglomerate

Divisions and Main Subsidiaries

(Click the Logos to view the company's website)

Descriptions taken from Vivendi Universal's Website

SFR-Cegetel Group (a 56% Vivendi Universal subsidiary) is the France's second telecommunications operator and the only private French operator covering all telecommunications activities: mobile telephony through SFR and fixed-line telephony and the Internet through Cegetel.

Universal Music Group (a 92% Vivendi Universal subsidiary) is the world’s leading music company. Its global operations encompass the production and distribution of recorded music on CDs, videos and DVDs, the licensing of music copyrights, music publishing as well as mail-order music/video distribution. With more than one million titles, Universal Music Group also owns the largest catalog of recorded music in the world. In 2002, one out of every four albums sold worldwide was a Universal Music Group album.

Canal+ Group (a 100% Vivendi Universal subsidiary) is a major European player in the production and distribution of pay-TV channels and interactive services, the production and distribution of film and television programs and the marketing of sports rights.

Vivendi Universal Entertainment (an 86% Vivendi Universal subsidiary) was created through the combination of Universal Studios Group and USA Networks’ entertainment assets. Vivendi Universal Entertainment produces and distributes motion pictures (in the theatrical, television and home video/DVD markets) and television programs. Vivendi Universal Entertainment also owns and operates cable television networks and channels, as well as theme parks.

Maroc Telecom (a 35% Vivendi Universal subsidiary) is Morocco’s historic telecommunications operator and the market leader in mobile and fixed-line telephony and the Internet.

Vivendi Universal Games is the second-largest publisher of PC consumer software worldwide, holding leading positions in North America and in numerous countries throughout Europe and the Asia-Pacific, including the number one position in Korea.

Conglomeratization:

The greatest conglomertization VU shows is it's combination of waterworks and media entertainment, though there are many, many more examples of it's vast range of companies.

Globalization:

Vivendi started in France, where it's headquarters still resides and now has a headquarters in New York as well. VU's main subsidiaries (listed above) come from either Europe, the USA, and in the case of Maroc Telecom, Morroco. According to the company website, it is present in 71 countries.

Horizontal Integration:

Maroc Telecom is the leader in fixed line telephony including internet services in Morocco and SFR-Cegetel is the 2nd leader in Telephony in France.

Vertical Integration:

Acquiring Universal Music as well as Universal films helps concentrate ownership of the two related medias.

Media Synergy:

VU can make movies through Universal entertainment and package them as video games in Vivendi Universal games.

VU can release Universal movie soundtracks on Universal Music.

The Universal Music group can release and offer songs from the Music Group for their mobile and other telephone service.