Comcast Corp (NASDAQ:$CMCSA) is one of the nation’s leading cable multi service operators and media giant. Its CMCSA unit, Universal Studios, is speculated to sell its 45% stake in Chinese movie studio Oriental Dreamworks to Warner Bros. The remaining 55% is owned by Chinese investment and media group, China Media Capital.

Comcast originally acquired DreamWorks Animation in a deal worth $3.8 billion.

Meanwhile, Warner Bros’ parent company, Time Warner Inc. (NASDAQ:$TWX) is headed into a merger with (NASDAQ:$T) worth $85 billion. The merge has already been approved by antitrust officials in 17 countries.

Why is Comcast selling? One of the likely reasons is the strategic differences between the two companies. Specifically, while China Media Capital caters to the Chinese market, Universal Studios caters to an international audience.

The next step for NBCUniversal is to leverage DreamWorks to reconstruct some of its cable networks. Taking place Sept. 9th, Sprout will be renamed Universal Kids, providing specialized programs for children between 2-11.

It is worth noting that Comcast undeniably has to confront tough rivals such as The Walt Disney Company (NASDAQ:$DIS), Time Warner Inc. and Viacom Inc. (NASDAQ:$VIAB) as they vie for top position in the the kids and family entertainment segment.

Featured Image: twitter