50s: Starting with a storage ring

Chapter 735 Acquisition of CBS
These past few years have been a period of profound transformation for America Media Resources.

The main changes are reflected in three aspects: centralized ownership, commercial transformation, and cross-industry integration.

In particular, the trend of centralized ownership in America's broadcasting and television industry is very evident.

Last year, NBC, one of the three major commercial broadcasting companies in the United States, was acquired by General Electric (GE) for $62 billion.

In the same year, ABC, another of the three major commercial broadcasting companies, was acquired by Metropolitan Communications for $35 billion.

The entire major media market in America is poised for a wave of mergers and acquisitions in the coming years, gradually consolidating into 23 large media companies.

Having recognized the importance of the media, Sun Zhiwei naturally wouldn't miss this wave of mergers and acquisitions.

In the 1980s, America's mainstream media were still radio, newspapers, and television.

Sun Zhiwei wants to own media outlets that he can completely control, but that's not something he can simply buy with money. Others aren't stupid; anyone with a brain knows the importance of media.

Buying enough shares to control a media company from someone else is no easy task.

This isn't just a question of whether others are willing to sell; it's because above all media outlets, there's a government agency under Congress called the Federal Communications Commission (FCC).

The FCC is not just a simple government agency; it can also make laws and set standards.

All communication products sold in America must submit FCC certification to them. Only communication products that meet FCC standards can enter the America market.

They also control America's media outlets, and they have the right to block any media acquisitions that are questionable.

For example, the FCC's existing Telecommunications Act clearly stipulates that the national audience coverage of a single media outlet cannot exceed 25%.

If it exceeds the limit, it is suspected of monopoly, and they can legally prevent its expansion, transactions and mergers.

This regulation acts like a chain, temporarily restricting the upper limit of all media companies.

However, this regulation is advantageous to Sun Zhiwei, who is preparing to get involved, because there are no monopolistic giants in America Media at present.

Currently, two of the three major commercial broadcasting companies in the United States have already been acquired, leaving only CBS.

Of the three major commercial broadcasting companies, CBS is significantly smaller than the top two, NBC and ABC.

Currently, it owns only 5 directly operated television stations, 6 medium-wave radio stations, and 7 FM radio stations.

The reason it wasn't acquired by large corporations is probably simply because others didn't value it.

However, Sun Zhiwei doesn't mind if others don't think highly of him.

The Roberts Group already has three main pillar industries: banking, mining, and transportation, as well as subsidiary companies such as Pinkerton, Magnificent Jewels, and the Maria Foundation.

Its scale has surpassed that of many established groups, with total assets reaching the threshold of hundreds of billions of US dollars.

Now, the Roberts Group does indeed need its own media channel to expand its influence.

Acquiring a large media company is not a simple matter; Sun Zhiwei simply told the group's president, Huang Mingyu, about his plan.

The subsequent business investigations, asset valuations, and equity acquisitions will naturally be handled by a professional team; he only needs to provide the funds and wait for the results.

He doesn't lack funds right now. Cathay Bank first made a fortune in the oil futures market, and then, taking advantage of the Plaza Accord, took a big bite out of the currency market.

He currently has hundreds of billions of dollars sitting in banks.

Having too much money with nowhere to go is not a good thing, so now is the perfect time to acquire CBS.

Given the size of CBS, it's not worth that much money.

He estimated that CBS's total assets were probably less than $10 billion, but the exact amount would only be known after a professional assessment.

June arrived quickly, and the Cleveland Balloon Festival was about to begin. Sun Zhiwei took his whole family to Cleveland on a Gulfstream 3.

Also present were staff members from the Maria Foundation, who had been invited to participate in this charity event.

When they arrived at the airport, Cleveland Mayor Gerald Spencer surprised the couple by personally greeting them.

They initially thought the Maria Foundation wouldn't play a significant role in this charity event, but unfortunately, he overestimated the impact of the Cleveland event.

Although Mayor Gerard sent out invitations all over the country, established charities had no interest in this declining border city.

As it turned out, among the dozens of charitable organizations present, their Maria Foundation was the largest.

The couple were both amused and exasperated. They could only politely meet with Mayor Gerald and then have the foundation's staff hand over the work to Gerald.

This time, they were just here for sightseeing and didn't want to miss out on spending time with their children because of work.

After leaving the airport, the whole family got into an armored car and headed to the hotel they had booked.

In addition to a bulletproof extended Lincoln, there were two other cars carrying Zhu Hongfei and his bodyguards. These vehicles were prepared in advance by them.

Now Zhu Hongfei and his group are no longer a lone commander. They have each transferred people from Pinkerton to build their own teams, so they don't have to do many things themselves.

Just to show his closeness, Sun Zhiwei allowed the three of them to stay at his home, so as to protect Tong Jiajia and the children's safety nearby.

After leaving the airport, you'll be in the suburbs of Cleveland, and you can see many factories and industrial areas along the way.

However, these once bustling factories are now overgrown with weeds, and Sun Zhiwei even saw wild deer wandering around the factory area.

This is why Cleveland has declined in recent years.

In its early years, Cleveland, like Pittsburgh, rose to prominence due to heavy industries such as steel and automobiles.

However, the depletion of mineral veins, the over-reliance on a single industrial structure, the decline of energy status, and the impact of new technologies have led to the decline of traditional industries and the closure and relocation of a large number of factories.

After these factories disappeared, the abandoned factory buildings and equipment gradually rusted, forming the "Rust Belt" north of America.

Photo: The red area is the Embroidered Belt in the northern United States.

The Ribbon, located in the Great Lakes region, stretches for thousands of kilometers and involves dozens of long-established cities in six states, including Cleveland.

(End of this chapter)