WhereIsAtlas · Consumer electronics

Zenith

The last American television maker, which invented the wireless remote and helped define digital HDTV — now an LG research and licensing subsidiary in Illinois that sells no televisions at all

Transformed — Zenith Electronics, LLC is an American research and development and licensing company owned by LG Electronics, based in Lincolnshire, Illinois. It began in Chicago in 1918 as Chicago Radio Labs, became Zenith Radio Company in 1923, and grew into one of the two largest television manufacturers in the United States. LG Electronics, then GoldStar, bought a 5 per cent stake in 1990, took control in 1995 and bought the rest through a prepackaged Chapter 11 reorganisation that completed on 9 November 1999. Zenith no longer makes televisions. It is LG's United States research subsidiary for consumer electronics, hospitality and health care technology and broadcasting standards, and it licenses Pro:Idiom, an encryption system widely used to deliver television signals in hotels.

Zenith began as an amateur radio business. Ralph Matthews and Karl Hassel founded Chicago Radio Labs in Chicago in 1918, making equipment for ham radio operators. The name came from ZN'th, a contraction of the founders' call sign, 9ZN, and it also carried the astronomical sense of a high point. Eugene F. McDonald joined in 1921, and Zenith Radio Company was incorporated in 1923 [1].

The products arrived quickly. Zenith introduced a portable radio in 1924, the first mass-produced AC radio in 1926 and push-button tuning in 1927. It added car radios in the 1930s with the Model 460, advertised on the basis that it needed no separate generator or battery, and sold at $59.95. Its first television set appeared in 1939 and commercial sets went on sale to the public in 1948 [1].

Zenith's technical reputation rests on three things. It invented the modern wireless remote control: a wired version in 1950, the Flash-Matic in 1955 using a directional photo flash tube, and then the ultrasonic Space Command in 1956, developed after the lead engineer Robert Adler suggested using mechanically struck aluminium rods to trigger the receiver. The audible click of the buttons is why remote controls were called "clickers" for a generation. Zenith said Space Command raised television sales by 40 per cent, licensed the technology to RCA and others, and successfully sued Admiral twice for patent infringement [1].

It also pioneered subscription television. Phonevision, launched experimentally with a Chicago station, used a descrambler box attached to the telephone line, with viewers calling an operator to have a broadcast unscrambled — the first working attempt at pay television. And it was an early developer of digital high-definition television: Zenith's work with the Grand Alliance from 1993 contributed parts of what became the ATSC standard for American digital broadcasting [1].

By 1960 Zenith and RCA were the two largest television makers in the United States, each with more than 20 per cent of the market against 25 smaller competitors, and the company was a substantial Chicago manufacturer: the 1962 Illinois Manufacturers Directory listed 11,000 employees, at least 6,460 of them in seven Chicago plants, plus its Rauland picture-tube subsidiary [1].

The 1970s and 1980s were a slow fight against imports. Zenith joined National Union Electric, Sears and Motorola in antitrust and antidumping litigation against Japanese television manufacturers that sought $900 million in damages; the case ended in the defendants' favour, with summary judgment in 1981 and a Supreme Court ruling against Zenith's antitrust claims in March 1986. Its market share went to Japanese competitors regardless, and by 1988 it was the last American television manufacturer [1].

Two decisions in that decade shaped the company's end. In 1979 Zenith bought Heath Company from Schlumberger for $64.5 million and formed Zenith Data Systems, which became a successful computer business — profitable enough by the late 1980s that it sustained the parent while the consumer business lost money from 1987. In October 1989 Zenith sold Zenith Data Systems to Groupe Bull for $635 million to fund HDTV research and cut debt [1].

In 1990, facing a possible hostile takeover and with an ageing analogue television line, Zenith sold a 5 per cent stake to the Korean company GoldStar — now LG Electronics — as part of a technology-sharing agreement. In 1995 LG raised its holding to 55 per cent and took controlling interest, which is when Zenith stopped being an American-owned company; the New York Times reported the sale under the headline "Last U.S. TV Maker Will Sell Control to Koreans" [1].

The end of the independent company came through bankruptcy. Zenith filed for Chapter 11 protection in 1999 with a prepackaged plan supported by the majority of its creditors. The plan was confirmed by the bankruptcy court that October and became effective on 9 November 1999: LG exchanged about $200 million of its claims for 100 per cent of the newly issued equity of the reorganised Zenith, bondholders received new 8.19 per cent senior debentures, and all outstanding common stock — including the stock LG had itself paid for — was cancelled with no distribution to shareholders. LG had been the majority stockholder since November 1995 [1][5].

What was left was a smaller company inside a Korean group. Its Network Systems division, which made set-top boxes for cable and satellite television, was sold to Motorola in the summer of 2000. Some products were made for other brands as OEM, under names such as Admiral, and the Allegro brand that had begun as a Zenith audio label was used on others. LG built some Zenith-branded products itself, including the DTT-900 and DTT-901 ATSC digital converter boxes that Zenith's name appeared on during the American digital television transition, and it offered some Zenith-branded plasma, LCD and direct-view televisions through selected retailers [1].

The Zenith headquarters building in Glenview, Illinois, which the company had occupied from 1976 to 1999, was demolished in 2018 to make room for a neighbouring retailer's expansion. The consolidated headquarters moved to Lincolnshire, Illinois [1].

Today Zenith describes itself as a leading United States technology development and licensing company, a wholly owned subsidiary of LG Electronics since 1999, and LG's United States research subsidiary for consumer electronics, hospitality and health care technologies and broadcasting standards. Its most visible commercial activity is Pro:Idiom, an encryption technology that Zenith created and licenses — royalty-free, to qualified companies — for delivering digital television signals in hotels and hospitals, alongside LG's Pro:Centric hospitality televisions [2][3].

The one thing to be clear about. Zenith still exists as a company and a brand, but it does not sell televisions. The Zenith name that appears on hotel televisions belongs to LG Electronics; the Zenith company in Lincolnshire sells technology licences and does research [2][4].

Timeline

  1. 1918 — Chicago Radio Labs: Ralph Matthews and Karl Hassel start a business making amateur radio equipment in Chicago. (Chicago)
  2. 1921 — Eugene McDonald joins: The man who will lead Zenith for decades arrives; the company is incorporated as Zenith Radio Company in 1923. (Chicago)
  3. 1924 — The first portable radio: Zenith follows it with the first mass-produced AC radio in 1926 and push-button tuning in 1927.
  4. 1939 — The first television: Zenith builds its first television set; sets are sold to the public from 1948.
  5. 1942 — Trans-Oceanic: The shortwave portable radio line begins, and runs until 1981.
  6. 1950 — Subscription television: Phonevision descrambles films over telephone lines in the first experiment with pay television.
  7. 1955 — The remote control: The Flash-Matic, invented by Eugene Polley, uses a photo flash tube; the ultrasonic Space Command follows in 1956 and is licensed to RCA.
  8. 1960 — At the top: Zenith and RCA are the two largest American television makers, each with more than 20% of the market.
  9. 1979 — Zenith Data Systems: The company buys Heath Company from Schlumberger for $64.5 million and enters the computer business.
  10. 1984 — The name changes: Zenith Radio Corporation becomes Zenith Electronics Corporation, reflecting its computer and cable interests.
  11. Mar 1986 — The antitrust case ends: The Supreme Court rules for the Japanese manufacturers in litigation Zenith had joined; the antidumping claims end in 1987.
  12. Oct 1989 — The computer business is sold: Zenith Data Systems goes to Groupe Bull for $635 million, to fund HDTV research and cut debt.
  13. 1990 — LG's first stake: GoldStar, later LG Electronics, buys 5% under a technology-sharing agreement meant to fend off a hostile takeover.
  14. 1993 — Digital HDTV: Zenith's work with the Grand Alliance contributes to what becomes the ATSC standard for American digital broadcasting.
  15. Jul 1995 — LG takes control: LG raises its holding to 55%, and the last American television maker passes out of American ownership.
  16. 1999 — Chapter 11: Zenith files for bankruptcy protection with a prepackaged plan supported by most of its creditors.
  17. 9 Nov 1999 — LG takes the rest: The plan takes effect: LG exchanges about $200 million of claims for all the equity, and existing shares are cancelled.
  18. 2000 — Network Systems goes to Motorola: The set-top box division is sold.
  19. 2008 — The converter boxes: LG builds the Zenith-branded DTT-900 and DTT-901 digital converter boxes sold during the American transition to digital broadcasting.
  20. 2018 — The headquarters is demolished: The Glenview building Zenith occupied from 1976 to 1999 is pulled down; the company operates from Lincolnshire.
  21. 2026 — A licensing company: Zenith continues as LG's US research subsidiary and licences Pro:Idiom, used to encrypt television signals in hotels. (Lincolnshire, Illinois)

Quick facts

Founded
1918 in Chicago, as Chicago Radio Labs
Founders
Ralph Matthews and Karl Hassel; Eugene F. McDonald joined in 1921
Name
from ZN'th, a contraction of the founders' ham radio call sign 9ZN
Incorporated
as Zenith Radio Company, 1923
Renamed
Zenith Electronics Corporation, 1984
Slogan
"The quality goes in before the name goes on"
Firsts
portable radio (1924), mass-produced AC radio (1926), push-button tuning (1927), subscription television (Phonevision), the practical wireless remote
Remote control
Flash-Matic in 1955, ultrasonic Space Command in 1956
Peak position
with RCA, one of the two largest US television makers by 1960, each above 20% of the market
Employees
11,000 in 1962, at least 6,460 of them in seven Chicago plants
Computers
Zenith Data Systems, formed in 1979 around Heath Company, bought for $64.5 million
Sold
Zenith Data Systems to Groupe Bull in October 1989 for $635 million
LG's first stake
5%, bought in 1990
Control
LG raised its holding to 55% in 1995
Chapter 11
filed in 1999, plan effective 9 November 1999
Result
LG exchanged about $200 million of claims for all the equity; existing shares were cancelled
Headquarters
Glenview, Illinois from 1976 to 1999; Lincolnshire, Illinois today
Today
LG's US research subsidiary, and the licensor of Pro:Idiom hotel television encryption

Lineage — where the name went

From an amateur radio workshop in Chicago to an LG research and licensing subsidiary: the company, the technology it invented, and the two sales that moved it to Korea.

  1. 1918 — Ralph Matthews founded Chicago Radio Labs (with Karl Hassel)
  2. 1918 — Karl Hassel founded Chicago Radio Labs (a maker of amateur radio equipment)
  3. 1923 — Chicago Radio Labs rebranded as Zenith Electronics, LLC (incorporated as Zenith Radio Company)
  4. Eugene F. McDonald served under Zenith Electronics, LLC (joined in 1921 and led the company for decades)
  5. 1942 — Zenith Electronics, LLC created Trans-Oceanic (the shortwave portable line, built until 1981)
  6. 1956 — Zenith Electronics, LLC created Space Command (the first practical wireless television remote)
  7. 1979 — Zenith Electronics, LLC created Zenith Data Systems (the computer division, formed around Heath Company)
  8. 1979 — Heath Company was ancestor of Zenith Data Systems (bought from Schlumberger to create the computer business)
  9. 1989 — Groupe Bull acquired Zenith Data Systems ($635 million, to fund HDTV research and cut debt)
  10. 1993 — Zenith Electronics, LLC created The digital HDTV system (its digital system contributed to the ATSC standard)
  11. 1990 — GoldStar acquired Zenith Electronics, LLC (a 5% stake under a technology-sharing agreement)
  12. 1995 — LG Electronics acquired Zenith Electronics, LLC (raised the holding to 55% and took control)
  13. 1999 — The 1999 Chapter 11 defeated Zenith Electronics, LLC (the prepackaged plan that cancelled the existing shares)
  14. 1999 — The 1999 Chapter 11 was succeeded by GoldStar (the reorganisation completed the transfer of the company to LG)
  15. Zenith Electronics, LLC created Pro:Idiom (the encryption technology now licensed to hospitality television makers)

Entities in this tree: Zenith Electronics, LLC (company, 1918); Chicago Radio Labs (company); Ralph Matthews (person); Karl Hassel (person); Eugene F. McDonald (person); Space Command (product, 1956); Trans-Oceanic (product, 1942); Zenith Data Systems (company); Heath Company (company); Groupe Bull (company); GoldStar (company); LG Electronics (company); The 1999 Chapter 11 (event, 1999); The digital HDTV system (event, 1993); Pro:Idiom (product)

Sources

  1. Zenith Electronics — Wikipedia (2026-09-20) ↩
  2. Enabling Technology and Licensing Expertise — Zenith Electronics LLC (2026-09-20) ↩
  3. Heritage — Zenith Electronics LLC (2026-09-20) ↩
  4. Why Did Zenith TVs Disappear? Here's What Happened To The Iconic American Brand — SlashGear (2026-09-20) ↩
  5. Zenith Plan Approved — Kirkland & Ellis, from Bankruptcy Court Decisions Weekly News and Comment (2026-09-20) ↩

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