It was dumb when NBC decided to force Jay Leno out in 2009. Their fear was losing COnan O'Brien. Then instead of giving Jay Leno once a week or twice a week, they gave him five hours of primetime real estate to do essentially what he did at late night.
It may have saved them money but it cost them viewers, and now NBC has been forced to remove Jay from the schedule. The plan right now is to have Jay on at 11:35/10:35, pushing Conan and the Tonight Show back half an hour, and then Jimmy Fallon would be pushed back as well.
Something tells me that Conan's going to quit, Jay's going to reclaim the Tonight SHow, and Jimmy Fallon doesn't have to go anywhere.