nres, including natural history, documentary, action/adventure, travel, history, kids and family, hyper-reality, lifestyle and cuisine, concerts, movies, and scripted series. Content on 3net includes African Wild, Marksmen, Forgotten Planet, From the Basement, and Storm Surfers. 3net’s target viewers are adults 25-54. International Networks This segment principally consists of national and pan-regional television networks. This segment operates in every pay-television market worldwide through an infrastructure that includes operational centers in London, Singapore, and Miami. Discovery Channel, Animal Planet, and TLC lead this segment’s portfolio of television networks. This segment has the primary international distribution platform of networks with approximately 14 networks in approximately 200 countries and territories worldwide. As of December 31, 2012, this segment operated approximately 180 distribution feeds in approximately 40 languages with channel feeds customized according to language needs and advertising sales opportunities. This segment also has free-to-air networks in the U.K., Germany, Italy, and Spain and continues to pursue international expansion. In 2012, this segment acquired 20% equity ownership interests in Eurosport, a European sports satellite and cable network; and a portfolio of pay television networks from TF1, a French media company. It also acquired Switchover Media, a group of five Italian television channels with children's and entertainment programming. Education This segment includes curriculum-based product and service offerings. This segment primarily includes subscriptions charged to K-12 schools for access to an online suite of curriculum-based video on demand tools, professional development services, digital textbooks, and student assessments and publication of hardcopy curriculum-based content. The company’s education business also participates in global brand and content licensing and engages in partnerships with major non-profits, corporations, foundations, and trade associations. Strategy The company’s strategy is to maximize the distribution, ratings, and profit potential of each of its branded networks. Its content development strategy is designed to increase viewership, maintain innovation and quality leadership, and provide value for its network distributors and advertising customers. Regulatory Matters The company’s businesses are subject to and affected by regulations of the U.S. federal, state, and local government authorities, and its international operations are subject to laws and regulations of the countries and international bodies, such as the European Union, in which it operates. Content networks, such as those owned by the company, are regulated by the Federal Communications Commission in certain respects if they are affiliated with a cable television operator. The 21st Century Communications and Video Accessibility Act of 2010 requires the company to provide closed captioning on certain IP-delivered video content that it offers.
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