Jessica Reif

Jessica Reif asked about the main drivers for the consumer segment's expected growth of over 10% in 2026, considering potential headwinds from the Degrees segment, focusing on subscriptions, learner acquisition, conversion, and pricing.

Answer

Greg Hart, President and CEO of Coursera, and Mike Foley, Chief Financial Officer, highlighted that subscriptions and courses, particularly annual Coursera Plus subscriptions, are the fastest-growing part of the consumer business, driven by increased marketing efficiency and product-led growth improvements. Jessica Reif also inquired about the Enterprise segment's net retention rate (NRR) inflection to 93%, priorities, and product development focus, especially post-Udemy merger. Mike Foley expressed dissatisfaction with the NRR until it's above 100%, attributing the Q4 uptick to one large government expansion. Greg Hart emphasized the complementary strengths of Coursera and Udemy's Enterprise businesses and the opportunity for a combined platform to offer deep integrations and serve both consumer and Enterprise needs.

Jessica Reif from Bank of America Securities inquired about the phenomenal growth in podcasting advertising, asking for insights into overall advertising market trends, whether 2026 growth will be market-driven or from new podcast inventory, and the profitability dynamics of the podcast business. She also asked about the 2026-2027 content renewal calendar, content expense growth, negotiating leverage, and areas for investment following the Howard Stern renewal.

Answer

CEO Jennifer Witz attributed strong podcast growth to higher audio RPM, record sell-through, increased CPMs, and programmatic uptick, along with Creator Connect product growth. She noted the podcast business is profitable and growing, with margins increasing over time. President and Chief Content Officer Scott Greenstein stated that content renewals are a shifting target, emphasizing a strong current lineup and opportunistic but conservative approach to new talent, particularly pleased with live sports rights. Jennifer Witz added that increased data allows for better content decisions and marketing for acquisition and retention.

Jessica Reif from Bank of America Securities asked about the phenomenal growth in podcast advertising, inquiring whether 2026 trends would be market-driven or inventory-driven, and sought insights into podcast profitability. She also requested commentary on the overall advertising market for 2026, including categories showing strength or pressure, and an update on the 2026-2027 content renewal calendar, negotiating leverage, and investment priorities, particularly following the Howard Stern renewal.

Answer

CEO Jennifer Witz attributed strong Q4 podcast growth to higher audio RPM, record sell-through, increased CPMs, significant programmatic uptick, and growth in the Creator Connect product (video/social). She sees continued industry tailwinds and improved monetization, confirming podcasting as a profitable business with increasing margins. For the broader ad market, Ms. Witz expressed cautious optimism for 2026, noting strength in tech, financial services, pharma, and CPG, while retail, QSR, and education faced pressure. President and Chief Content Officer Scott Greenstein stated that the content lineup is dynamic, but they feel strong in Sirius and podcasting, particularly in live sports rights. Ms. Witz added that data analytics are increasingly used to inform content decisions for engagement, acquisition, and retention.

Jessica Reif from Bank of America asked about Comcast's global scaling plans for Peacock given significant sports and content investments, and whether M&A is necessary for this or for NBCUniversal's competitive position. She also requested a detailed advertising outlook, including trends in cable and media, and the impact of programmatic advertising.

Answer

Mike Cavanagh, President of Comcast, reiterated that M&A is not necessary for NBCUniversal's competitive position, citing strong talent partnerships, successful sports programming (which is primarily market-by-market), and the unique portfolio of assets. He noted another strong advertising quarter, with revenue up 3% (excluding Olympics), driven by sports like Sunday Night Football and increased programmatic and digital advertising, particularly for Peacock. Dave Watson, CEO of Comcast, concurred on similar advertising trends.

Jessica Reif asked about Comcast's global scaling plans for Peacock, given significant sports and content investments, and whether M&A is necessary for global expansion. She also inquired about NBCUniversal's competitive position without M&A. Additionally, she asked for a detailed advertising outlook, including trends in cable and media, and the impact of programmatic advertising.

Answer

Mike Cavanagh (President, Comcast) reiterated that M&A is not necessary for NBCUniversal's competitive position, emphasizing the strength of its talent partnerships, sports portfolio (primarily U.S.-focused), and the balance between linear and digital advertising. He noted strong advertising performance, up 3% excluding Olympics, driven by sports like Sunday Night Football, and significant growth in Peacock's advertising revenue, which accounted for a third of NBC's total upfront commitments. Dave Watson (CEO, Comcast) confirmed similar advertising trends on the cable side.