As executive jumps to lead Twitter, he leaves corporate turmoil in 30 Rock to buyers just days before his big show
Twitter CEO Elon Musk stunned the industry on Friday when he announced Yacarino as his successor in the top role at the struggling social media company. Earlier that day, NBCUniversal stated that Yaccarino would step down as president of global advertising and partnerships. It named Mark Marshall, a top advertising-sales executive, as Yacarino’s successor on an interim basis.
Speculation about her jumping to Twitter on Thursday began after Musk tweeted about finding an unnamed female successor for Twitter CEO after the Wall Street Journal reported talks between Musk and Yacarino.
The announcement left the advertising community—of which Yacarino has long been a towering figure—in a flurry, with rumors swirling that he’d received $20 million to play the role. TheWrap could not verify that total.
“I don’t get it. Why would she walk away from NBC’s influence?” an ad buyer for a top brand told TheWrap.”[There are] Only a handful of people at the top of advertising: he’s one of them.
Former NBC studio and UPN executive Tom Noonan told The Wrap that Yacarino’s departure couldn’t be a more challenging and tumultuous time for the media conglomerate.
“Not only have the Upfronts been turned upside down by the WGA strike, but with Yacarino’s exit on ‘Upfront Eve,’ there must be real uproar behind the scenes, as it were, and as a result of her dreadfully timed departure, possibly significant loss of revenue,” he said. “Linda is an undeniable powerhouse, can pivot and adapt quickly and is the kind of executive you want to lean on in these uncertain times, so this is a big hit for the company “
Comcast’s domestic advertising revenue in its media segment fell 38.8% year over year to $2.03 billion in the first quarter. Admittedly, it’s a rough comparison, as the first quarter of 2022 included the Beijing Olympics and the Super Bowl. Excluding those events, advertising revenue decreased 6.1%. The same story is playing out in traditional media: gains in streaming haven’t made up for losses in linear audiences.
In that challenging advertising-sales environment, Noonan said NBCUniversal is undergoing a “seismic leadership change” following the unexpected ouster of its former CEO Jeff Shell following an admission of an inappropriate relationship with an NBCUniversal employee. Yacarino was one of Shell’s direct reports, who got a new boss, Comcast President Mike Cavanagh, when Shell left.
“It’s unclear whether Yacarino signals greater turmoil from what we know behind closed doors at NBCU, or if it’s just a coincidence.” “Either way, it’s not good.”
In a news release announcing his departure, Yacarino stated that “it is an absolute honor to be a part of Comcast NBCUniversal and to lead the most incredible team.”
“We have transformed our company and the entire industry – and I am very proud of what we have accomplished together, and I am grateful to my colleagues and mentors, especially Brian Roberts, Mike Cavanagh and the entire NBCU leadership team am,” she said.
Since joining NBCUniversal in 2011, Yaccarino’s team has generated more than $100 billion in advertising sales, expanded the company’s reach globally and helped launch Peacock. Most recently, it was preparing to take a new, integrated advertising-sales approach to the 2028 Olympics in Los Angeles.
Cavanagh praised Yacarino for his “countless contributions to the company during his twelve-year tenure”.
“We wish him all the best,” he added.
Brad Gaving, a senior vice president of media at data-driven advertising firm Tatari, said NBCUniversal is well positioned in the long run, thanks largely to the leadership Yaccarino has provided.
“She has long been at the forefront of streaming advertising and improved measurement capabilities, giving NBCU a strong foundation to move into all forms of TV advertising in the future,” he told TheWrap. “I think Linda may see Twitter as an opportunity to play a history-making role building on the success she’s had with NBC.”
Mark Marshall, president of NBCUniversal advertising sales and client partnerships, will become interim president of the company’s advertising and partnerships group. He joined NBCUniversal in 2018 after a long stint at Turner Broadcasting. Instead of reporting directly to Cavanagh, he will report to Mark Lazarus, president of NBCUniversal Television and Streaming. Sources tell TheWrap that both Lazarus and Marshall will participate early Monday, with the former opening the presentation and the latter closing it.
In a tweet on Friday, Elon Musk officially announced that Yacarino will serve as CEO of Twitter, focusing primarily on business operations. Meanwhile, the billionaire said he would take on the role of executive chairman and chief technology officer, focusing on “product design and new technology.”
“Looking forward to working with Linda to transform this platform into X, the Everything App,” Musk said. According to a company filing, Twitter recently changed its corporate name to X. X is a business name that Musk has used for a long time, including for PayPal’s predecessor. He suggested that he wanted to expand Twitter’s operations into commerce and payments.
I’m excited to welcome Linda Yacarino as the new CEO of Twitter!@lindayak I will focus primarily on business operations, while I will focus on product design and new technology.
Looking forward to working with Linda to turn this platform into an X, everything app. https://t.co/TiSJtTWuky
— Elon Musk (@elonmusk) 12 May 2023
Yacarino, who will start at the social media giant in about six weeks, is certainly no stranger to Musk. in April, he interviewed her at the Mobile Marketing Association’s Potential event in Miami, where he stressed that advertisers need to feel part of Musk’s overall vision for the service.
Twitter’s new CEO?
Linda Yacarino, a potential new CEO for Twitter, is an executive at NBC Universal and holds a position at the World Economic Forum.
Last month, during an interview with Elon, Yacarino encouraged him to allow advertisers to influence… pic.twitter.com/zaTBDlJRbr
— Mario Nawfal (@MarioNawfal) 12 May 2023
Stefano Bonini, a corporate governance expert and associate professor of finance at Stevens Institute of Technology, told TheWrap that Yacarino’s hiring makes sense at a time when advertisers are leaving Twitter in large numbers.
“She knows what to do, she can provide the type of confidence to advertisers and the continuity of the business and the stability of the business,” he said. That’s exactly what advertisers who have stopped or reduced investment on Twitter are looking to restart their spend.
While Bonini acknowledged that Yacarino aligning with Musk comes with its own reputational risks, he believes they are calculated. He added that he has the “business acumen” to manage any downside.
MeWe founder Mark Weinstein said Yacarino’s hiring was “a wise choice to try to increase advertising revenue,” but warned TheWrap that her hire “signals to Twitter users that its surveillance capitalist business model is based on data gathering.” And going to be stronger at targeting. than ever before.”
Already, some Twitter users, especially conservative ones, have been drawn to the service by Musk’s promise to accommodate a wider range of speech. expressed alarm On Yakarino’s participation in the World Economic Forum Task Force.
“Time will tell whether Ms. Yacarino can successfully turn Twitter’s revenue ship, or if its users will instead gravitate toward founder Jack Dorsey’s decentralized initiative, BlueSky,” Weinstein said.
A spokesperson for Musk did not immediately respond to TheWrap’s request for comment on Yacarino’s hire.
Sharon Waxman and Laurie Seitz contributed to this report
