As of its higher marketplace capitalization scale prior to the merger, AOL retained 55 percent ownership, with Bit Warner holding the remaining 45 percent. The merger was meant to produce synergies between the two companies, beguiling servicing of the hovering expansion standard of AOL, its mammoth subscriber model, the high-speed cable lines owned by Extent Warner and content if by Generation Warner. On the other hand, the collapse of the dotcom bubble in 2000 and the economic slowdown in 2001 essentially derailed this idea; in 2002 the firm reported a loss of $99 billion, which was, at the day, the greatest annual loss ever recorded.
NBC Universal
Furthermore, while the two companies may not be manage competitors, there may be cross-selling opportunities between them.
AOL Time Warner
In 2000, America Online, AOL, acquired the media conglomerate Hour Warner, origin business of Generation, CNN, Warner Brothers Studios and TBS, for $164 billion. In this deal, both companies merged and formed a au courant protest, AOL Bout Warner.Conglomerate mergers combine companies between contrastive industries and regions.A conglomerate merger is defined as any merger that is not horizontal -- between competitors -- or vertical -- between a distributor and supplier. Rather, a conglomerate merger is between firms operating in at odds industries or in geographic areas. Normally, the direction of a conglomerate merger is to diversify the root gathering, forming it less susceptible to marketplace fluctuations and downturns in product cycles, or expand geographically.
NBC General, which was itself a product of a merger between GE's NBC, acquired in 1986, with Vivendi's Typical. The deal was concluded in May 2005, with GE owning 80 percent of the partnership and Vivendi owning 20 percent. In 2009, Comcast -- a cable and Internet overhaul provider -- acquired 51 percent of NBC Habitual, with GE retaining 49 percent. By purchasing a dominant content generator, Comcast seeks to position itself strategically as both a assistance provider, Comcast has 23 million video subscribers and 17 million Internet subscribers, and a conveyor of media, exclusively as content conveyance becomes more and more Internet centric.
Sony
Sony, which had formerly been primarily in the consumer electronics manufacturing dodge, moved into the media Production fini a series of conglomerate mergers. In 1989, Sony acquired the American film and television production corporation Columbia Pictures Entertainment Inc., made up of Columbia Pictures and Tristar Pictures, from Coca-Cola for $3.4 billion. In 1991, the newly acquired company was renamed Sony Pictures Entertainment and became Sony's key media division.
Philip Morris
Fearing a continued decline in tobacco sales, Philip Morris acquired Kraft last of 1998. Kraft merged with Philip Morris's General Foods, which made Oscar Mayer meats, Maxwell House coffee, Jell-O, Entenmann's baked goods, Kool-Aid, Crystal Light, Post Cereals and Shake 'n Bake, becoming the new entity Kraft General Foods. In 1990, the company bought Jacobs Suchard, a Europe-based coffee and confectionery company, and Freia Marabou, a Scandinavian confectionery maker. This move was to geographically diversify business that was previously heavily dependent on the U.S. market.
