General Discussion
In reply to the discussion: Clear Channel Chairman Stepping Down/StopRush Gathers Momentum [View all]BlueStreak
(8,377 posts)In reality they have been at the forefront of "Wal*mart-ising" radio for years. The theory was that you could outsource local production of radio programs to third world places like Georgia and Florida. You could have a building full of right-to-work-cheap people acting like they were actually in each local market and there would be no consequences.
Well, there are consequences. You might argue that some of this is inevitable, like the end of printed newspapers and magazines.
I bet they look upon Limbaugh as the the least of their problems -- after all, he is still on the air in lots of markets and still sells enough advertising to be profitable - but maybe not under Limbaugh's current contract, which pays him $50M a year through 2016.
http://www.nytimes.com/2008/07/03/business/media/03radio.html?_r=0
I don't know if his contract is contingent on advertising revenues, but it seems certain that a big reckoning is coming in 2016. Maybe he will decide that is a good time to retire, because if he takes a cut of 80%, for example, (which would still be a very healthy $10M a year), that would hurt his brand and ego. And really, how much money does anybody need?