Universal Studios (sometimes called Universal City Studios or Universal for short), a subsidiary of NBC Universal, is one of the six major American movie studios. Its main motion picture production/distribution arm is called Universal Pictures. Its production studios are located at 100 Universal City Plaza Drive in Universal City, California. Distribution and other corporate offices are based in New York City. Universal Pictures is the second longest-lived Hollywood studio; Viacom-owned Paramount Pictures is the oldest by a month.

The founder of Universal was Carl Laemmle, a German Jewish immigrant from Laupheim who settled in Oshkosh, Wisconsin, where he managed a clothing store. On a 1905 buying trip to Chicago, Illinois, he was struck by the popularity of nickelodeons. One story has Laemmle watching a box office for hours, counting patrons and calculating the take for the day. Within weeks of his Chicago trip, he gave up dry goods to buy the first of several nickelodeons. For Laemmle and other such entrepreneurs, the creation in 1908 of the Edison-backed Motion Picture Trust meant that exhibitors were expected to pay fees for any Trust-produced film they showed. On the basis of Edison's patent on the electric motor used in cameras and projectors, along with other patents, the Trust collected fees on all aspects of movie production and exhibition, and attempted to enforce a monopoly on distribution. It was believed that the productions were meant to be used for another company but they turned it down.

Soon Laemmle and other disgruntled Nickelodeon owners decided to avoid paying Edison by producing their own pictures. In June 1909, Laemmle started the Yankee Film Company with partners Abe and Julius Stern. That company quickly evolved into the Independent Moving Pictures Company (IMP). Laemmle broke with Edison's custom of refusing to give billing and screen credits to performers. By naming the movie stars, he was able to attract many of the leading players of the time, contributing to the creation of the star system. In 1910, he actively promoted Florence Lawrence, formerly known as "The Biograph Girl," and actor King Baggot, in what may be the first instance of a studio using stars in its marketing.