Don’t underestimate Bob Pittman.
For those who have worked in big corporations or watch them, it should not come as a shock that Bob Pittman had a major reorganization prepared a week after he got a 5 year contract extension and forced John Hogan into retirement.
Darren Davis is now in charge of Clear Channel Network Group – which will have Premiere syndication, Total traffic & Weather (the people 1000 miles away who have never been to cities they report on), 24/7 News and iHeartRadio.
This is creating a very high level split between the programming services and the radio stations.
As I gaze into the crystal ball of the future, I think I see the Private Equity exit strategy. This new entity is the sexy part of Clear Channel that would be perfect to spin off as an IPO to raise cash by pretending to sell a piece of it to the public, now that the big concerts created brand recognition. Bob Pittman knows about the power of having a brand.