The media landscape has undergone a remarkable transformation since its inception, evolving from traditional newspapers to the digital communication networks that dominate today. This article delves into the history of media, the birth of advertising, and the ownership dynamics that have shaped the industry. We'll explore the milestones of media development, the controversies surrounding early advertising, and the intricate relationship between media networks and their content.
Radio, initially developed in 1920 for military communication, quickly became a consumer product thanks to David Sarnoff, president of RCA. To drive radio sales, RCA established stations nationwide, with the first being KDKA in Pittsburgh. By 1923, over 600 stations were broadcasting, and radio sets sales had reached $83 million source: History of Radio.
The introduction of advertising on radio in 1923 marked a significant shift. RCA, comprising AT&T, General Electric, United Fruit, and Westinghouse, pioneered "toll broadcasting." United Fruit was among the first to advertise, and AT&T's WEAF station began the controversial practice of selling airtime, which was initially termed "trade name publicity."
In 1926, RCA launched NBC, the first radio network, which produced shows in New York City and distributed them via AT&T phone lines. NBC's dual philosophy was that radio should serve as a public service to sell radios and as a medium to generate advertising revenue.
CBS, founded by William Paley in 1927, operated on the principle that networks could profit solely from advertising. The rise of radio networks led to the Radio Act of 1927, establishing the Federal Radio Commission (FRC), the precursor to the FCC, to manage the airwaves.
By the 1930s, radio had cemented its commercial format, with sponsored and unsponsored shows. Sponsored content was entirely controlled by advertisers, setting a precedent for television.
Television adopted radio's structure in the 1940s, with RCA monopolizing TV set sales. By 1955, advertising dominated television, which was organized around selling products. The era was also marked by political scrutiny, with McCarthyism and the HUAC influencing content and leading to blacklists and censorship, particularly on topics like race relations.
In the 1950s, networks moved to spot selling, placing ads between programs rather than allowing sponsors to control entire shows. This change was partly due to the discovery of quiz show frauds and the financial burden on advertisers supporting whole shows.
Television ratings, measured by companies like AC Nielsen, determine the value of advertising time. Ratings represent the percentage of households watching a show, while share indicates the percentage of viewers tuned in at a specific time. For instance, if 45 million out of 90 million households are watching a show at 8 pm, the rating would be 30, and the share would be 50.
Ratings can be skewed, as producers may attempt to influence Nielsen households to boost their numbers. The secrecy of these households is crucial to maintaining the integrity of ratings.
The 1950s, known as the "Golden Age of Television," saw the rise of anthology series, which advertisers disliked due to their complex themes. Networks sought programs that would keep viewers engaged for selling ads, leading to the development of laugh tracks and audience testing for shows.
This era gave rise to a culture of recombinant television, where similar elements are rehashed across different programs. It also cemented the idea that people watch television as a medium, rather than specific shows, leading to stable viewing rates regardless of the content.
Ownership of media has always been a critical question. Today, a few large corporations control a significant portion of the media we consume. These conglomerates have the power to influence both the content that is produced and the way it is distributed. As of 2021, companies like Comcast (NBCUniversal), Disney (ABC), ViacomCBS, and AT&T (WarnerMedia) are among the major players in the media landscape source: Columbia Journalism Review.
In conclusion, the history of media is a tale of innovation, controversy, and consolidation. From the early days of print to the digital age, media has continually adapted to new technologies and societal changes. Understanding this history is crucial for grasping the current state of media and its potential future directions.
