It’s official: Kyle Sandilands‘ $100 million contract with ARN Media has been terminated and The Kyle and Jackie O Show will not be returning.
So what happens next?
Sandilands has made it clear he plans to fight ARN’s decision and said in a statement that the issue is now with his legal team.
“My lawyers told them last week this [decision] would be invalid,” he said.
“And guess what? It is.”
Henderson is also addressing her radio exit through legal channels after insisting she “did not quit or resign” in a statement released earlier this month.
Once the most powerful duo in Australian radio, their futures are unclear – but here’s what industry insiders, experts, and those closest to them suspect may happen next.
READ MORE: A timeline of the ‘biggest bust-up in Australian media’
READ MORE: Jackie O reportedly considering taking legal action against ARN
READ MORE: Insiders convinced Kyle’s $20m next move is hiding in plain sight
What will Kyle Sandilands do next?
When he announced his termination this morning, Sandilands made it clear he wasn’t going to go down without a fight.
“I’ve got a contract until 2034. I’ve got rights under that contract. And ARN hasn’t honoured the contract,” he said.
“So, it’s over to my lawyers.”
Media commentator Tim Burrowes told Today it’s pretty obvious what the shock jock plans to do next.
“Clearly he is going to try and argue that he has a contract that has another almost nine years to run, and reportedly that’s worth, to him, $10 million a year,” he said.
Employment lawyer Nick Duggal agreed.
“He’s going to be intent on seeking damages for the balance of his contract, which is an eye-watering $88 million,” he told Today.
“He also makes a bit of a pitch for his listeners saying that was taken out of his hands, so it’ll be interesting to see where Kyle pops up next from a media perspective.”
Sandilands also used his statement to reminded Australia why, despite his many controversies, he’s one of the biggest names in the business.
He mentioned The Kyle and Jackie O Show’s number one ratings year after year and the hundreds of millions of dollars in revenue it made, and promised listeners he wasn’t out of the game yet.
Wayward boy who became one of the most infamous voices on radio
So what will he do if he can’t go back to ARN?
Sandilands could move to a rival network like Southern Cross Austereo (SCA) or Nova Entertainment, or start up a career in podcasting.
He may even entertain a return to TV, having previously hosted and judged a slew of Australian competition shows.
The big question is whether he will pursue a solo career or reunite with Henderson, whom he’s been working alongside for more than two decades.
And whom, according to his statement, he’s still willing to work with.
“I said sorry to Jackie the night of our blow-up. And when I said I was sorry to Jackie, I meant it. I still mean it,” he said today.
What will Jackie O Henderson do next?
Henderson has plenty of options following her exit from The Kyle and Jackie O Show.
When ARN announced she was leaving the show on March 3 it said it has offered her the “possibility of an alternative show” on the network.
Given the network had already signed a $100 million 10-year deal with Henderson, it’s safe to assume it would be willing to offer her another lucrative contract for a new show.
Whether Henderson would be willing to take that deal is another question.
In her statement on March 6, she said she was “deeply saddened by the events of the past week and the possibility of the show ending”, which came as a shock to her.
A report in the Australian Financial Review suggested Henderson is even considering exploring a wrongful termination lawsuit.
Rather than return to ARN, Henderson could explore opportunities with rival networks – either solo, with a new co-host, or with Sandilands.
She could transition to podcasting, which she’s done quite successfully before.
Henderson previously co-hosted the Her Best Life podcast with bestie Gemma O’Niell and could return to the series or launch a new one in the wake of her radio exit.
Alternately, she could explore opportunities in TV or lifestyle influencing.
Jackie O’ Henderson’s career in photos
Having previously hosted Big Brother and Australian Princess and starred on the judging panel of Popstars and The Masked Singer Australia, Henderson’s no stranger to TV.
And with more than 300,000 Instagram followers, brands would happily partner with her if she went down the influencer route.
What will ARN do without The Kyle and Jackie O Show?
Terminating Sandilands and Henderson’s contracts may have saved ARN tens of millions of dollars, but it’s also opened a whole new can of worms for the network.
In the short term, the network has managed to offload a very expensive show that had hit a few hurdles lately.
“The big challenge for ARN was they signed this huge deal that was really important to them because their show rated so well in Sydney, but a big advertiser boycott kicked off,” Burrowes said.
The boycott was in response to controversial comments and behaviours the show aired over the years, many of which came back to Sandilands.
On top of that was the issue of the show’s national expansion, which kicked off in Melbourne to abysmal ratings.
It soon became clear The Kyle and Jackie O Show wasn’t going to work in other markets.
“And all of a sudden ARN was stuck with this huge expensive thing,” Burrowes said.
“So beyond that reputational thing of problems with advertisers was just this issue of a show which is non-commercial for them.”
Now that ARN has terminated Sandilands and Henderson’s contracts, it stands to save a lot of money.
But it also has to find a new show and hosts for its prime-time breakfast slot and chase those number one ratings The Kyle and Jackie O Show has been bringing in for years.
And it will have to deal with legal action from both former hosts, which could cost a pretty penny.
The legal battle on the horizon
Sandilands and Henderson have both indicated that they’re pursuing legal action against ARN for terminating their contracts.
How far that legal action will go and what it will cost the network remains to be seen.
Lawyer Richard Mitry expects Sandilands will argue his on-air bust up with Henderson was in line with his usual shock jock antics and not, as ARN alleged, ‘serious misconduct’.
“Ultimately he’s going to say, ‘I was just doing what you pay me to do and what all of your listeners who’ve been with me for decades want me to do, so how is that serious misconduct?'” he told Today Extra.
Mitry said Sandilands could also challenge the 14-day period he was given to remedy the alleged misconduct, during which time Sandilands claimed he was not allowed to contact Henderson or speak about the issue publicly.
He said ARN could end up paying out tens of millions of dollars to Sandilands and Henderson, on top of legal fees, if the former duo’s legal action is successful.
In 2024, ARN signed a $200 million 10-year deal with the pair, and they don’t seem happy it’s now been torn up.
”I think what Kyle is likely to argue, what Jackie is likely to argue, through their lawyers, is that ARN was desperate for a way out of this contract,” Burrowes said.
Duggal predicts both will pursue legal action and claim damages, which could take nine to 12 months to reach the courts – unless it’s settled before then.
He said there’s “always benefit” to a settlement in the media industry and that ARN, Sandilands and Henderson may come to an agreement behind the scenes rather than letting the matter go to court.
The big question is what such a settlement could cost ARN.
“But we are talking about really big dollars,” he said.
“So from a legal cost perspective, it’s potentially a case worth fighting. And there’s talk now that Kyle is maybe going to buy the network, so we’ll see.”
What happens to The Kyle and Jackie O Show staff now?
Depending on who you ask, the rest of the staff at The Kyle and Jackie O Show could end up being the biggest winners in this messy situation.
Executive producer Natalie Penfold, studio producer Zane Dean, Peter Deppeler AKA ‘Intern Pete’, and other staff could be ushered in as the ‘next generation’ of Aussie radio.
They may continue to work at ARN and could even land roles on whatever radio show takes over the prime morning slot The Kyle and Jackie O Show used to hold.
They might even become hosts in their own right, though that’s a bit less likely.
Alternately, they could follow Sandilands or Henderson into their new careers in radio or podcasting.
Only time will tell where they all go next.
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