The Stern-CBS suit

The Wall St. Journal reports that Sirius will pay CBS $2 million to settle the suit against Howard Stern — but Stern gets the rights to broadcast all his archives, which come cheap. CBS had wanted huge shares of sub revenue for those rights and then wanted huge chunks of Stern’s stock and all it got was $2 million, which probably didn’t cover the legal expenses. Spinsters will spin away but I say Stern won.

  • http://francispage.blogspot.com Christopher Francis

    Stern gets a great deal from this. All that archive material could easily fill up yet another Sirius channel — Classic Howard 24/7, if you will.

    And what does Les Moonves get out of this? A huge bill for a temper tantrum.

  • http://www.capnken.com/wisdom/ Cap’n Ken

    Wow. No doubt this is a deal for Sirius. I’m not sure the exact “rights” they get to the archive (Jeff, why would you link to a WSJ article not available to the public? Just a “new media” question.), but assuming the $2 million is all they’re paying, that’s a hell of a bargain.

    Howard in a Can 24/7 that they can sell ads against is powerful mojo.

  • http://davemartin.blogspot.com David Martin

    Jeff,

    Sirius is paying $2M and gets rights to some kind of Stern archive, however, the release was silent on what Stern, his production company, his counsel, et al “paid”, if anything, to CBS in their part of any settlement. Victory for Stern? Not enough facts are available to say which party prevailed but CBS is getting paid possibly at the suggestion to Sirius by their counsel (cost of settlement v cost of moving to and through trial v probability of success). Since part of the settlement very likely includes no comments from the parties the chances of Howard getting into the grits of this matter and us finding out the real story are slim to nil. Case closed.

  • Chris Sinclair

    heres the deal:

    CBS wanted 500 million for Sterns old tapes.
    They’re invaluable his fans, who have been salivating at the thought of re-living old stern show moments. (Compare this to reruns of Seinfeld and Friends.)
    Then, CBS sued Stern for 500 million for violating their airwaves, promoting Sirius, and taking an advance on his paycheck while sitll under CBS contract.
    Add it up.
    CBS wanted 1 billion dollars to cover themselves for Stern’s departure.
    They got 2 million, and now they’re paying for Opie and Anthony (who both suck), and they still have to pay for David Lee Roth’s contract which is about 8 million.
    And Chris Francis is right, Les has a HUGE bit of explaining to do to his superiors (the stockholders) about his personal vendetta, which he called a lawsuit; which 2 million wont cover.
    Howard Won.
    Case Closed.