CBS Corporation

CBS Corporation was a prominent American mass media conglomerate with operations spanning broadcasting, cable television, publishing, and radio. Formed from the split of the original Viacom in 2005, it was considered one of the "Big Three" television networks in the United States alongside NBC and ABC. The corporation was controlled by National Amusements and, following a 2019 merger, was recombined with Viacom to form ViacomCBS, now known as Paramount Global.

History

The corporation's lineage traces to the founding of the Columbia Broadcasting System in 1927 by William S. Paley. Under Paley's leadership, it grew into a radio and later television powerhouse, launching iconic programs like CBS Evening News with Walter Cronkite. In 1971, the company was renamed CBS Inc. and later became part of the original Viacom following a 1999 merger orchestrated by Sumner Redstone. The modern entity was created in 2005 when the larger Viacom was split into two separate publicly traded companies: a new Viacom focused on cable television and film, and this corporation, which retained the broadcasting assets. This separation lasted until 2019, when pressure from Shari Redstone led to its re-merger with Viacom.

Corporate structure

The corporation was organized into several key operating segments. The CBS Television Network was its flagship broadcast television division, while CBS Television Studios produced content for the network and other outlets. Its Cable television portfolio included premium channels like Showtime and the Pop network. The CBS Radio division operated numerous stations across major markets like New York City and Los Angeles, though it was sold to Entercom in 2017. Other significant units included CBS Interactive, which managed digital properties, and the publishing arm Simon & Schuster. The company was headquartered at the CBS Building in Midtown Manhattan.

Assets and properties

Its core asset was the CBS Television Network, which included owned-and-operated stations in major markets such as WCBS-TV in New York City and KCBS-TV in Los Angeles. In cable, it fully owned Showtime Networks, which included channels like Showtime and The Movie Channel. Its production studios, CBS Television Studios and CBS Studios International, were responsible for hit series like NCIS and The Big Bang Theory. The corporation also held a 50% stake in The CW, a joint venture with Warner Bros., and owned digital platforms like CNET and TVGuide.com through CBS Interactive. The prestigious Simon & Schuster publishing house was another major holding.

Leadership and governance

For much of its existence, the corporation was led by Leslie Moonves, who served as Chairman and Chief Executive Officer from the 2005 split until his resignation in 2018 amid scandal. The board of directors included members like Bruce S. Gordon and Martha L. Minow. Following Moonves's departure, Joseph Ianniello served as Acting President and CEO until the 2019 merger. Ultimate voting control was held by National Amusements, the holding company of the Redstone family, with Shari Redstone serving as Vice Chair of the board. Other key executives included David Nevins, who oversaw Showtime.

Financial performance

The corporation was a consistently profitable entity, reporting annual revenues that grew from approximately $13.9 billion in 2006 to over $14.5 billion in 2018. Its most profitable segment was Entertainment, which included the CBS Television Network and CBS Television Studios. The Cable Networks segment, led by Showtime, also contributed significant income through subscription fees. In 2018, it reported an operating income of $2.86 billion and a net income of $1.96 billion. Its Class B stock traded on the New York Stock Exchange under the ticker symbol "CBS" and was a component of the S&P 500 Index.

Controversies and legal issues

The corporation faced significant controversy, most notably the allegations of sexual misconduct against longtime CEO Leslie Moonves, which led to an investigation by law firms Covington & Burling and Debevoise & Plimpton and his eventual resignation. It was also involved in a high-profile corporate governance dispute with its controlling shareholder, National Amusements, and Shari Redstone in 2018 over merger strategy. Earlier, in 2004, the company faced scrutiny during the Super Bowl XXXVIII halftime show controversy involving Janet Jackson and Justin Timberlake, which prompted investigations by the Federal Communications Commission. Legal battles also occurred with Time Warner Cable over retransmission consent fees.