Viacom History: From Media Giant to Paramount Global
Viacom stood as one of the most influential forces in the global mass media and entertainment industry for decades. From its headquarters at One Astor Plaza in New York City, the company managed a vast empire of cable networks, motion picture studios, and digital platforms. Though the entity known as Viacom ceased to exist as an independent company in 2019, its legacy continues through its successor, Paramount Global.
At its peak, the second incarnation of Viacom operated through Viacom Media Networks, controlling approximately 170 networks. This massive infrastructure allowed the company to reach roughly 700 million subscribers across 160 countries, making it the ninth-largest media company in the world by revenue.
Key Facts
- Founded: December 31, 2005 (second incarnation)
- Founder: Sumner Redstone
- Headquarters: One Astor Plaza, New York City
- Major Subsidiaries: Paramount Pictures, MTV Films, Nickelodeon Animation Studio, and Pluto TV
- Fate: Merged with CBS Corporation in 2019 to form ViacomCBS (now Paramount Global)
- 2019 Revenue: US$ 12.838 billion
The Evolution of a Media Powerhouse
The 2000s: Expansion and Acquisitions
Following its formation in late 2005, Viacom embarked on an aggressive period of acquisition to diversify its digital and film presence. In June 2005, the company expanded into the virtual space by purchasing Neopets, along with GameTrailers, GoCityKids, and iFilm. This was followed by the significant acquisition of DreamWorks Pictures in February 2006.
The company also sought to strengthen its presence in the gaming and interactive entertainment sectors, acquiring Atom Entertainment for $200 million in 2006 and the game developer Harmonix for $175 million in 2007. To penetrate the Indian market, Viacom entered a 50–50 joint venture with Network 18 in 2007, creating Viacom 18 to manage brands like MTV, VH1, and Nickelodeon in the region.
The 2010s: Digital Shifts and Strategic Moves
As the media landscape shifted toward digital and streaming, Viacom adapted through strategic investments. In 2011, the company acquired a majority stake in Bellator Fighting Championships. By 2014, Viacom made history as the first American media company to take over a British broadcaster by acquiring Channel 5.
The late 2010s saw a heavy focus on youth audiences and digital content. Viacom launched Viacom Digital Studios in 2017 and acquired the internet video conference VidCon in 2018. Furthering its digital footprint, the company acquired AwesomenessTV for $25 million in 2018 and the free ad-supported streaming television (FAST) service Pluto TV for $340 million in early 2019.
The Re-merger with CBS
The era of the independent Viacom came to a close due to intense competition from streaming giants like Netflix and Amazon. After years of speculation and shifting corporate leadership, Viacom and CBS Corporation entered negotiations to recombine. This move was designed to create a more competitive entity capable of leveraging massive intellectual property across film and television.
On August 13, 2019, the companies officially announced their merger. The deal, which was approved by National Amusements, was completed on December 4, 2019. The combined entity was initially named ViacomCBS, which later became Paramount Global.
Corporate Profile Summary (2019)
| Category | Details |
|---|---|
| Revenue | US$ 12.838 billion |
| Operating Income | US$ 2.462 billion |
| Net Income | US$ 1.522 billion |
| Total Assets | US$ 23.671 billion |
| Total Equity | US$ 8.520 billion |
| Employees (2017) | 11,200 |
Frequently Asked Questions
What happened to Viacom?
Viacom merged with CBS Corporation in December 2019 to form a new company called ViacomCBS, which has since been renamed Paramount Global.
Who was the founder of Viacom?
The company was founded by Sumner Redstone.
What were Viacom's main products?
Viacom's diverse portfolio included cable television, publishing, motion pictures, games, podcasts, and web portals.
Which major studios did Viacom own?
Viacom's studio assets included Paramount Pictures, MTV Films, and Nickelodeon Animation Studio.
How did Viacom interact with YouTube?
In 2007, Viacom famously sent approximately 100,000 copyright takedown notices to YouTube regarding alleged copyright infringement.