Considering that experience develops a firm’s absorptive capacity, this paper examines the moderating effects of firms’ prior experience with high uncertainty and international investments on the real options value of subsequent and similar investments under uncertainty. In addition to the firm’s real option investments, we propose that consideration for a firm’s capability to perceive and respond to exogenous uncertainty and future opportunities would lead to a better understanding of the value of real options under uncertainty. Differential absorptive capacity based on prior experience with similar type of uncertainty and investment leads to heterogeneous value of subsequent uncertainty and investment.