David Sarnoff

Lore & Background

Sarnoff saw radio as point-to-mass communication. In 1926, RCA purchased AT&T's broadcasting subsidiary, which was reorganized to launch the National Broadcasting Company (NBC), the first national radio network in America. Sarnoff became president of RCA in 1930. He also negotiated contracts to form Radio-Keith-Orpheum (RKO), a film production and distribution company. In television, Sarnoff funded Vladimir Zworykin's research after meeting him in 1928, leading to demonstrations of the iconoscope camera tube and kinescope receiver in 1936. The final cost of the television enterprise was closer to $50 million.

Reader's Guide

David Sarnoff's significance lies in his leadership of RCA and NBC, which established the AM broadcasting radio standard that dominated the 20th century. He recognized the potential of radio as a mass medium and helped launch the first national radio network. His role in television development, though costly, advanced all-electronic television. However, his legacy is complicated by his participation in stock market manipulation of RCA stock in 1929, revealed by the Pecora Commission, where he used his housewife as a proxy to hide involvement. This contributed to public outcry and stricter securities regulations. Sarnoff also insisted on being called 'General' after being named a Reserve Brigadier General of the Signal Corps in 1945. While often inaccurately called the founder of RCA and NBC, he was founder of only NBC.

Did You Know?

• Sarnoff emigrated from the Russian Empire to New York City in 1900 at age 9 and sold newspapers to support his family.
• He participated in a 1929 pool operation to manipulate RCA stock, netting a gross profit of $5,563,198.48.
• Sarnoff funded Vladimir Zworykin's television research, which ultimately cost about $50 million.
• He was named a Reserve Brigadier General of the Signal Corps in 1945 and thereafter insisted on being called 'The General'.