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Comcast Eyeing Asia Expansion

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Mar. 8 2019, Published 4:02 p.m. ET

Comcast seeking a bigger piece of the $150 billion videogame market

Comcast (CMCSA) has joined the race to buy Nexon, South Korea’s largest videogame publisher, according to Reuters. Amazon (AMZN) and Electronic Arts (EA), also interested in Nexon, have submitted bids to purchase its holding company, NXC. Nexon, which makes videogames for personal computers and mobile devices, has a footprint in the United States and other markets outside South Korea.

Videogames are big business. The global videogame market, valued at $137.9 billion last year, is on track to hit $150 billion this year, according to Newzoo. Acquiring Nexon would give Comcast a key asset in the videogame market and expand its footprint in Asia.

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Comcast wants to become a more global company, a major reason it acquired British broadcaster Sky last year. The race for Sky, which serves more than 27 million customers across several European countries, came down to a special auction in which Comcast beat out 21st Century Fox (FOX). Fox, which already owned 39% of Sky, had teamed up with Walt Disney (DIS) to buy the remaining 61%.

Comcast competing for India’s Zee Entertainment

Developing countries’ swelling middle-class consumer population is creating an attractive growth opportunity overseas for companies such as Comcast, which is in the race to purchase a stake in Indian media group Zee Entertainment in another apparent global expansion quest.

Comcast, which currently generates 9.0% of its revenue from international markets, wants them to contribute more to its top line. With last year’s acquisition of Sky, Comcast is on track to generate 25% of its revenue from international operations.

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