Later Years
David Sarnoff, whose ambition and business acumen had helped RCA become one of the world's largest companies, turned the company over to his son Robert in 1970. David died the next year, aged 80.
On 17 September 1971, NBC's Huntley-Brinkley Report read a news bulletin issued by the RCA Board of Directors just minutes before the broadcast, announcing the Board's decision to cease operation of its general-purpose computer systems division (RCA-CSD). This marked a milestone in RCA's move away from technology and into a diversified conglomerate. (The introduction by IBM of the 370 series required RCA to make a substantial new investment in its computer division, and the Board decided against making that investment.)
During the late 1960s and 1970s, RCA Corporation, as it was now formally known, ventured into other markets. Under Robert Sarnoff's leadership, RCA diversified far beyond electronics and communications, in a broader American corporate trend toward "conglomerates." The company acquired Hertz (rental cars), Banquet (frozen foods), Coronet (carpeting), Random House (publishing) and Gibson (greeting cards), yet slipped into financial disarray, with wags calling it "Rugs Chickens & Automobiles" to poke fun at their attempt at becoming a conglomerate.
Robert Sarnoff was ousted in a 1975 boardroom coup by Anthony Conrad, who resigned a year later after he admitted failing to file income tax returns for six years. RCA maintained its high standards of engineering excellence in broadcast engineering and satellite communications equipment, but ventures such as the NBC radio and television networks declined.
In about 1980, RCA corporate strategy reported on moving manufacture of its television sets to Mexico. RCA was still profitable in 1983, when it switched manufacturing of its VHS VCRs from Panasonic to Hitachi.
Forays into new consumer electronics products lost money. The SelectaVision videodisc system, not to be confused with the same trademark that RCA applied to its VCRs, never developed the manufacturing volumes to substantially bring down its price, could not compete against cheaper, recordable videotape technology, and was abandoned in 1985 for a write-off of several hundred million dollars.
In 1984, RCA Broadcast Systems Division moved from Camden, New Jersey, to the site of the RCA antenna engineering facility in Gibbsboro, New Jersey. In the years that followed, the broadcast product lines developed in Camden were terminated or sold off, and most of the buildings demolished, except for a few of the original RCA Victor buildings that had been declared national historical buildings. For several years, RCA spinoff L-3 Communications Systems East was headquartered in the building, but has since moved to an adjacent building built by the city for them. The building now houses shops and luxury loft apartments.
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