Rupert Murdoch warns…
“Self-serving bureaucracies are seeking to silence those who would question their provenance and purpose. Elites have open contempt for those who are not members of their rarefied class. Most of the media is in cahoots with those elites, peddling political narratives rather than pursuing the truth.”
Andy Coulson suggests a leaving present for Rupert Murdoch…
“And when it comes to the leaving do (with the obligatory mocked-up Sun front page I hope) the answer to ‘what do we buy him?’ is obvious. With all due respect to the current publishers of this piece, it has to be: The Spectator.”
Rupert Murdoch is stepping down as Chairman of Fox and News Corp as of November, with his son Lachlan succeeding him as sole chair of both. Murdoch will assume the title of Chairman Emeritus of each company:
“Dear Colleagues,
I am writing to let you all know that I have decided to transition to the role of Chairman Emeritus at Fox and News. For my entire professional life, I have been engaged daily with news and ideas, and that will not change. But the time is right for me to take on different roles, knowing that we have truly talented teams and a passionate, principled leader in Lachlan who will become sole Chairman of both companies.
Neither excessive pride nor false humility are admirable qualities. But I am truly proud of what we have achieved collectively through the decades, and I owe much to my colleagues, whose contributions to our success have sometimes been unseen outside the company but are deeply appreciated by me. Whether the truck drivers distributing our papers, the cleaners who toil when we have left the office, the assistants who support us or the skilled operators behind the cameras or the computer code, we would be less successful and have less positive impact on society without your day-after-day dedication.
Our companies are in robust health, as am I. Our opportunities far exceed our commercial challenges. We have every reason to be optimistic about the coming years – I certainly am, and plan to be here to participate in them. But the battle for the freedom of speech and, ultimately, the freedom of thought, has never been more intense.
My father firmly believed in freedom, and Lachlan is absolutely committed to the cause. Self-serving bureaucracies are seeking to silence those who would question their provenance and purpose. Elites have open contempt for those who are not members of their rarefied class. Most of the media is in cahoots with those elites, peddling political narratives rather than pursuing the truth.
In my new role, I can guarantee you that I will be involved every day in the contest of ideas. Our companies are communities, and I will be an active member of our community. I will be watching our broadcasts with a critical eye, reading our newspapers and websites and books with much interest, and reaching out to you with thoughts, ideas, and advice. When I visit your countries and companies, you can expect to see me in the office late on a Friday afternoon.
I look forward to seeing you wherever you work and whatever your responsibility. And I urge you to make the most of this great opportunity to improve the world we live in.”
Huge. Lachlan wins…
Guido has confirmed the truth of a rumour going around News UK that the firm has sought to buy GB News, which is smashing the media corporation’s TalkTV in the news channel ratings battle. Last night Nigel Farage had 150 times the audience of Jeremy Kyle, and Jacob Rees Mogg now regularly wins double or triple the audience of has-been Piers Morgan. Sky News is revamping their line-up too, as it also regularly loses the ratings battle to GB News.
A GB News executive has confirmed to Guido that News UK has twice tried to convince GB News to sell and merge the channels. The owners of GB News have made it clear the channel is not for sale. There is a precedent for Murdoch buying a rival channel, merging it and making it a great success. When Sky first launched it had a rival in the Daily Mail Group-owned British Satellite Broadcasting and their famous “Squarial“. The competition was hurting both channels financially, and eventually Murdoch bought the rival out and merged them to form British Sky Broadcasting and go on to great success. It seems that Rupert will be denied the chance to repeat the trick…
Guido hears there are funereal discussions over TalkTV’s future in the Baby Shard. The loudest rumour is Rupert Murdoch has given the channel until Christmas to turn things around, although one source told Guido today the deadline may be even sooner than that. He could pull the plug early…
In the meantime, senior staff are leaving left, right and centre. Creative director Erron Gordon left for GB News last week, with political editor Kate McCann announcing she’s jumping to Times Radio in September. According to multiple sources, there are plans for an emergency scheduling reshuffle soon, with Mike Graham’s show potentially shifted to the afternoon, and Julia Hartley-Brewer moved away from her breakfast slot. Apparently this is all still up in the air, and may change…
What hasn’t changed much is the viewership, which is still stubbornly low – talkRADIO is still popular though, as its staff are understandably keen to point out – and sucking millions out of Murdoch’s coffers. Tom Newton Dunn is still on a long, long holiday. Whether it’s Christmas or tomorrow, the odds of turning things around with a “Sun TV” rebranding or scheduling switch-up look low…
The Spectator’s latest company accounts are due shortly, meantime the accounts filed last year may give us a clue as to what price the magazine might command in the auction currently underway. These accounts are for the year ending December 2021 (not last year). The highlights were:
Healthy figures all rising in double-digit percentages. There was a 5% fall in news stand sales blamed on the pandemic, which was more than made up for by increased subscriptions. Guido has no reason to believe that this year’s figures would be much different. In fact, the return of a thriving events business should boost profits.
A note to the accounts caught Guido’s eye: the incorporation of “The Spectator (1828) Inc.” to aid the title’s US expansion. Guido understands that the US operation is loss-making, and that if a buyer was to spin off or more ruthlessly shut down the US effort, profits would be more like £4 million. This suggests that the widely touted £50 million price tag on the magazine might be an underestimate. Giving the venerable magazine with a growing and already substantial digital presence a profits multiple in the mid-teens doesn’t seem unreasonable. Add on a trophy brand premium and it could be worth in excess of £70 million. Something for Rupert Murdoch to mull over…
