How new BuzzFeed CEO Byron Allen turned the ‘worst thing that ever happened’ into success

On May 11, media entrepreneur Byron Allen announced a deal to buy a majority stake in Buzz Feed—the millennial-favorite news site that closed its Pulitzer Prize-winning news division in 2023. Allen is swooping in as savior of the 20-year-old publication, which otherwise would have had to file for bankruptcy as a result of its shrinking revenue. Allen will replace founder Jonah Peretti as CEO of Buzz Feed; Peretti will become president of Buzz Feed AI. “Our vision is to build on the iconic foundation of BuzzFeed and HuffPost by expanding into free-streaming video, audio, and user-generated content,” Allen said in a statement announcing the deal. “As of this moment, with the power of AI, BuzzFeed is officially chasing YouTube to become another premiere free video streaming service.” Allen’s BuzzFeed deal amounted to $120 million. Most recently, Allen Media Group struck a deal with CBS to fill Stephen Colbert’s late-night slot. Allen tried to strike larger deals to purchase media conglomerates like Paramount Global in the past, but those didn’t pan out. In December, Allen spoke with radio host Charlamagne tha God during a panel for financial literacy nonprofit Operation HOPE, where he discussed his rise to becoming a media mogul. Allen got his start in the entertainment industry as a stand-up comic and comedy writer. After landing a gig at the Comedy Store, where he recalled performing for just four people, he got a call from actor and comedian Jimmie Walker, who invited him to write with other comedians like Jay Leno and David Letterman. He sold them a joke for $25. Decades later, Allen has kept that check framed. “This is when I knew I could make it in this business,” Allen said. During his stint for one TV show, Allen said he was getting paid $2,500 an episode, compared to his colleagues who were making $10,000 to $12,500 an episode. Allen said he was fired after asking for a pay bump. “I thought it was the worst thing that ever happened to me,” he said. “It was the ve