diversification

noun

di·​ver·​si·​fi·​ca·​tion də-ˌvər-sə-fə-ˈkā-shən How to pronounce diversification (audio)
dī-
1
: the act or process of diversifying something or of becoming diversified : an increase in the variety or diversity of something
Between the appearance of complex cells 2.1 billion to 1.6 billion years ago and the explosive diversification of multicellular animals some 800 million years ago, not much happens in the fossil record.Carolyn Gramling
2
a
: the act or practice of spreading investments among a variety of securities or classes of securities
I've emphasized bond mutual funds because they're so useful for investors of average means. You get diversification (because the fund owns many types of bonds) and liquidity (you can cash out, at the market price, whenever you want).Jane Bryant Quinn
b
: the act or policy of increasing the variety of a company's products
And it envisions a diversification into products such as clothing and electronics, which Nakasone hopes will attract more customers outside the busy holiday season.Karl Taro Greenfeld

Examples of diversification in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
These creators are savvy online marketers who can dizzy a layperson with complex discussions of ROI, content stream diversification and fan-intake funnels. Gustavo Turner, HollywoodReporter, 17 June 2026 Gunjan Soni, country managing director of YouTube India, made the remarks at the APOS conference in Bali on Wednesday, laying out a three-part operational approach for M&E partners centered on promotional distribution, revenue diversification and format modernization. Naman Ramachandran, Variety, 17 June 2026 In Abu Dhabi's case, that means connecting energy transition goals with AI ambitions and broader industrial diversification. Ken Silverstein, Forbes.com, 14 June 2026 Central bank demand, geopolitical risk, high government debt, currency concerns, de-dollarization, and the desire for portfolio diversification all remain important factors. Aly J Yale, CBS News, 11 June 2026 See All Example Sentences for diversification

Word History

Etymology

borrowed from Middle French & Medieval Latin; Middle French diversificacion, diversification, borrowed from Medieval Latin dīversificātiōn-, dīversificātiō "differentiation, variation," from dīversificāre "to differentiate, diversify" + Latin -tiōn- -tiō, suffix of verbal action

First Known Use

1603, in the meaning defined at sense 1

Time Traveler
The first known use of diversification was in 1603

Browse Nearby Words

Cite this Entry

“Diversification.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/diversification. Accessed 21 Jun. 2026.

More from Merriam-Webster on diversification

Love words? Need even more definitions?

Subscribe to America's largest dictionary and get thousands more definitions and advanced search—ad free!

More from Merriam-Webster