The Beginnings of CBS

In the 1920s, the Columbia Phonograph Company also had a branch for manufacturing records: the aptly named Columbia Records. In 1927, Columbia invested in the United Independent Broadcasters network, a new radio network based in Chicago. The network was then renamed the Columbia Phonographic Broadcasting System; the newly renamed network went live 87 years ago today: September 18, 1927. That first public airing included a performance by the Howard Barlow Orchestra.
Back to Blog
Written by Staff Writer • Posted on Sep 18, 2014

In the 1920s, the Columbia Phonograph Company also had a branch for manufacturing records: the aptly named Columbia Records. In 1927, Columbia invested in the United Independent Broadcasters network, a new radio network based in Chicago. The network was then renamed the Columbia Phonographic Broadcasting System; the newly renamed network went live 87 years ago today: September 18, 1927. That first public airing included a performance by the Howard Barlow Orchestra.

Running the network was a costly venture, however, and it was only a matter of months—before Christmas 1927, actually—that the Columbia Phonographic Company wanted to pull out. The network’s founder, Arthur Judson, sold everything to the owners of a another network; those owners placed William Paley as president. Paley shortened the name to “Columbia Broadcasting System”, which we know today as CBS.

In its early years under Paley, CBS would move its headquarters to Brooklyn. Paley was able to stablize the network’s finances as well as its web of affiliates within his first year of leadership: CBS had 47 affiliate stations across the country, and nearly $5,000,000 in gross earnings.

CBS quickly became—and would remain—a mainstay of American radio. In addition to his keen business sense, Paley had a taste for talent and good entertainment. Under his leadership, CBS became a haven for many talented celebrities: George Burns and Grace Allen; Al Jolson; Jack Benny; Kate Smith; and a very young Bing Crosby.

CBS was hugely popular and successful in the 1930s, home to a new brand of serial drama: the soap opera. In an interesting turn of fate, CBS would, 10 years after its creation, purchase the American Record Corporation, who at that time in 1938 was the parent company of Columbia Records. 劗BS would continue its popularity in the 1940s, the golden age of American radio, and even through the 1950s, when radio began to lose its footing to the rise of television. Today, CBS is a network powerhouse, popular with television audiences for its range of drama and comedy, sporting events, and news coverage.

And to think it almost didn’t happen back in September 1927...