Byron Allen's Vanity Project

In a move that has industry insiders scratching their heads and his own employees reaching for the antacids, Byron Allen is reportedly opening up the checkbook for his biggest vanity project yet.

Sources tell FTVLive that Allen is cuting a massive check to CBS to secure the time slot currently occupied by The Late Show with Stephen Colbert. But this isn't your standard network talent deal—it’s essentially a massive "pay-to-play" brokered time agreement.

Under the terms of the deal, Allen is reportedly shelling out millions of dollars to CBS for the real estate. In exchange, he gets the keys to the time slot and the responsibility of selling every single ad.

For CBS, it’s the ultimate "no-lose" scenario. The network is guaranteed to make a profit before a single frame of video even hits the air. In fact, Allen could air 60 minutes of a test pattern or literal dead air, and CBS would still walk away with their pockets full.

It is, for all intents and purposes, cable access on a network level.

While Allen prepares to see his name in the late-night lights, the mood at Allen Media Group-owned stations is decidedly less celebratory.

Employees at local stations across the country are watching their boss spend millions on a national ego trip while they navigate the day-to-day grind of local news. For those working in the trenches, it’s a bitter pill to swallow:

Staffers feel this is less about "media mogul" strategy and more about a billionaire wanting to play late-night host. And, while millions are handed to CBS, local stations are left wondering where the investment in their own newsrooms is hiding.

By taking on the ad sales burden, Allen is betting big that he can recoup his massive investment, a tall order in a declining linear TV market.

The folks at the AMG-owned stations are essentially stuck in the passenger seat, watching the boss drive the company car toward a very expensive cliff.

"It’s surreal," one source whispered. "We’re out here trying to cover local fires and city council meetings, and he’s out here buying a network time slot like he’s buying a 2:00 AM infomercial for a George Foreman grill."

CBS gets a guaranteed payday. Byron Allen gets a late-night ego boost. And the people actually working at his stations? They get to sit back and watch the money burn.

Stay tuned.