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Entertainment
Clive Davis, left, stands next to Whitney Houston Kathy Hutchins / Shutterstock.com

Clive Davis turned an unknown teen into a $250 million icon and made billions. Could you spot the next Whitney Houston?

The music industry lost one of its most influential figures with the death of legendary record executive Clive Davis on Monday. He was 94. Over his six-decade-plus career, Davis built a reputation for spotting untapped talent long before the rest of the industry caught on. His keen eye helped launch the careers of some of music’s most successful stars — from Barry Manilow to Aretha Franklin.

Among all the artists Davis discovered and developed, however, no one was more commercially successful than Whitney Houston.

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The singer, who went on to sell more than 220 million records worldwide, became one of the best-selling music artists of all time. Her success transformed not only her own career but also helped cement Davis’ reputation as one of the greatest talent scouts in entertainment history.

Davis’ willingness to take chances on unproven artists helped generate billions of dollars in album sales, touring revenue, publishing income, radio play, streaming and licensing deals — establishing a legacy that extended far beyond the recording studio.

Davis’ discovery that changed music history forever

Davis kicked off his legendary career as President of Columbia Records, where, between 1967 and 1973, he signed rock icons like Janis Joplin, Bruce Springsteen and Billy Joel. From there, he founded Arista Records in 1974, leading the label for nearly three decades while launching imprint joint ventures, including LaFace Records with L.A. Reid and Babyface (featuring TLC and Usher) and Bad Boy Records with Sean Combs in 1994 (with the Notorious B.I.G.).

It was during that time that Davis encountered Houston. It was 1983, and she was only a teenager performing in a New York nightclub. Davis was immediately convinced that she’d possessed a rare combination of vocal strength, charisma and commercial appeal. At the time, however, Houston was virtually unknown — Davis saw something others didn’t yet.

After signing her on the spot to Arista Records, he carefully cultivated her career, ultimately curating a debut that would go on to become one of the most successful launches in music history.

Houston’s self-titled debut album, released two years later in February 1985, sold more than 25 million copies worldwide. It produced copious chart-topping hits including “You Give Good Love” and three consecutive top singles: the Grammy award-winning “Saving All My Love for You,” “How Will I Know” and “Greatest Love of All.” The album also became the biggest selling debut album by a solo artist to date.

And the momentum only grew from there.

Houston’s following albums continued to champion charts around the world, while her starring role in the 1992 film, The Bodyguard, introduced her to an even larger audience. The film’s 13-song soundtrack continues to hold the record for best-selling music from a film, having sold more than 45 million copies worldwide. Its success was largely propelled by Houston’s iconic rendition of Dolly Parton’s 1973 “I Will Always Love You.”

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Throughout the course of her career, Houston raked in millions of the billions that Davis had generated over the course of his. At the height of it all, she had an estimated net worth of $250 million, making her one of the industry’s highest-earning artists.

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The enduring legacy Davis leaves behind

Davis’ success with Houston illustrates a lesson that extends well beyond the music business: identifying talent early can create extraordinary value. Davis trusted his instinct, experience and understanding of what audiences wanted and, time and time again, it paid off. Houston became the clearest example of that — but she was far from the only or last example of it.

Davis was inducted into the Rock and Roll Hall of Fame in 2000 — the same year that he moved on from Arista to establish J Records, introducing Alicia Keys and signing Luther Vandross, before merging J into RCA Records in 2011 under Sony Music Entertainment. There he served as Chief Creative Officer, mentoring stars like Kelly Clarkson and Carrie Underwood while overseeing a catalog of thousands of artists.

“To the world, our father was the iconic music legend whose vision, instincts and relentless pursuit of excellence shaped the soundtrack of countless lives,” the Davis family wrote in a Facebook post following his death. “He discovered, mentored and championed the greatest artists in modern music history, leaving an indelible mark on culture that will endure for generations.”

As tributes pour in following Davis’ death, his legacy is likely to be remembered not only for the million-dollar stars he brought to stages and sound systems worldwide, but also for the immense impact those artists had on shaping the industry at large.

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AnnaMarie Houlis Weekend Editor

AnnaMarie is a weekend editor for Moneywise.

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