Jay Leno Is Going Prime Time

Jay Leno is leaving the Tonight Show after 15 years, but the shift is only to an earlier slot. Conan O'Brien is set to replace him, a move announced five years ago. NBC has grabbed Leno for a new contract, giving him a talk show airing at 10:00 P.M. each weeknight. Rather than competing with other late night talk shows, Leno will now go head to head with the network dramas that have been the stalwart of this time slot. Over the last four years, ratings have been steadily declining during this time, mainly due to changes in viewers' habits, particularly the advent of DVR.

In addition to the jewel of keeping Leno at NBC, the show adds a relatively cheap hour of programming to NBC's schedule. While a network drama can cost up to $15 million per week, even with Leno's generous salary, the program will provide a huge savings. As if that isn't benefit enough, the average drama contracts for 22-26 episodes a season, and Leno is committing to 46 weeks of shows per year.

Leno's new program will keep many elements of the Tonight Show format. While all information has been given on an anonymous basis, the New York Times reports that Leno has been heavily courted to stay at NBC by top brass, and that Leno has finally come to believe that the format can do well in prime time.

Although the show is projected to do well, there are some statistical risks for NBC. Leno's programs traditionally do well in the first half hour. That trend could hurt NBC's news ratings, and Leno at ten could hurt the Tonight Show at 11:35.