Logo

Interpublic Reorganizes, Dissolves Media Unit

Oct 18, 2006  •  Post A Comment

In a move that reverses the trend of media agencies working separately from advertising agencies, Interpublic Group of Cos. is dissolving its Interpublic Media unit and restructuring the media units that were part of it.

Interpublic Media Chairman and CEO Mark Rosenthal will be leaving the company. He has been on medical leave since July but will stay on to assist in the transition.

Bill Cella, who was chairman and CEO of Interpublic’s Magna Global unit, which negotiated billions of dollars in buys for Interpublic media agencies, was named vice chairman of Interpublic’s Draft FCB advertising network. He will remain involved with oversight of holding company-level clients and in management of Magna and assets in the digital media space, the company said. Magna will continue to operate and focus solely on negotiating.

In the reorganization the Initiative media agency will become aligned with Draft FCB advertising agency while the Universal McCann media agency remains with McCann Worldgroup.

“Media is an increasingly strategic part of our overall offering and an important component of the creative product, yet most marketing services providers deliver an unbundled, often siloed, media product,” said Michael Roth, chairman and CEO of Interpublic. “Our new model puts us at the forefront of the trends toward start-to-finish, multi-channel solutions and also addresses the increasingly important digital space.”