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Tag: Rupert Murdoch

  • Fox or Time Warner: Who will blink first – Time Warner’s attempt to get more money?

    Fox or Time Warner: Who will blink first – Time Warner’s attempt to get more money?

    BENGALURU: Both the companies have issued official statements about the offer and rejection. Twenty-first Century Fox (Fox) issued a short, cryptic  three sentence statement –“21st Century Fox can confirm that we made a formal proposal to Time Warner last month to combine the two companies. The Time Warner Board of Directors declined to pursue our proposal. We are not currently in any discussions with Time Warner.” Fox waited for the appropriate time and made the bid within a few days of Time Warner completing the spinoff of Time Inc., and hence made the target more affordable for Fox.

     

    Speculation continues across media circles globally with some industry pundits claiming that the rejection of the Fox offer was a coy attempt by the Time Warner brass to get more money for the company. Time Warner shares closed last week at above USD 86 per share, already above the estimated USD 85 per share offered by Fox. If Fox wants to build more clout with Pay TV providers it actually is left with little option except to raise its bid, considering the fact that AT&T has announced a USD 49 billion deal to buy DirecTV and the friendly Comcast-Time Warner Cable merger is awaiting approvals. Other suitors could also make a pitch for Time Warner, hence raising the ante further.

     

    As mentioned earlier, Time-Warner had rejected Rupert Murdoch’s 21st Century Fox offer allegedly worth about USD 76 billion cash and stock. 21st Century Fox had offered to buy Time Warner for USD 32.42 in cash and offered a ratio of 1.531 Fox class-A share for each Time Warner share.

     

    Time Warner had in a statement last week said that the company was confident that its board’s strategy continues to deliver stockholder value and was superior to any proposal Fox had to offer.

     

    Excerpts of the Time Warner release:

     

     In making its determination, the Time Warner Board considered, among other things, that: The execution of Time Warner’s strategic plan will continue to drive significant and sustainable value for Time Warner stockholders; The unique value of Time Warner’s industry-leading businesses including its portfolio of networks and its film studio and television production business is only going to increase; There is significant risk and uncertainty as to the valuation of Twenty-First Century Fox’s non-voting stock and Twenty-First Century Fox’s ability to govern and manage a combination of the size and scale of Twenty-First Century Fox and Time Warner; and there are considerable strategic, operational, and regulatory risks to executing a combination with Twenty-First Century Fox.

     

    Citigroup Global Markets Inc. is acting as financial advisor to Time Warner while Cravath, Swaine & Moore LLP is acting as legal advisor.

     

     In the meantime, the US Federal Communications Commission (FCC) has set a deadline of 25 August 2014 for those interested in filing comments or petitions to deny the friendly Comcast Corporation (Comcast)-Time Warner Cable Inc., merger. (Time Warner Cable was spun off from Time Warner in 2009). The deal would give Comcast 30 million U.S. homes; about 30 per cent of all the cable households and 40 per cent of the high-speed internet market. In a statement in February 2014, Comcast had said that the stock-for-stock transaction in which Comcast will acquire 100 per cent of Time Warner Cable’s 284.9 million shares outstanding for shares of Comcast amounting to approximately USD 45.2 billion in equity value. Each Time Warner Cable share will be exchanged for 2.875 shares of Comcast, equal to Time Warner Cable shareholders owning approximately 23 per cent of Comcast’s common stock, with a value to Time Warner Cable shareholders of approximately $158.82 per share based on the last closing price of Comcast shares. Comcast also plans to expand its buyback program by an additional USD10 billion.

  • Fox or Time Warner, who will blink first?

    Fox or Time Warner, who will blink first?

    BENGALURU: If it had gone through, it would have been the second largest media deal ever in the history and created a mega media powerhouse, but Time-Warner rejected Rupert Murdoch’s 21st Century Fox offer allegedly worth about USD 76 billion cash and stock. Time Warner CEO Jeff Bewkes said that its board had decided such a deal would not be in the ‘best interests’ of his company or its shareholders. 

     

     Industry experts however expect Murdoch to make an improved offer, considering the fact that the media landscape is undergoing huge shifts. Murdoch has to gain scale as Pay TV distributors such as AT&T and Comcast are getting bigger and bigger through acquisitions, also Murdoch — is not known for backing off once he has set his sights on a company.

     

    21st Century Fox had offered to buy Time Warner for USD 32.42 in cash and offered a ratio of 1.531 Fox class-A share for each Time Warner share. That, says Fox Business, a 21st Century property, equates to around USD 86 a share, or USD 76 billion. The combined company would sport revenues of USD 65 billion, and control a slew of television channels like Fox, TNT, and HBO, along with movie studios 20th Century Fox and Warner Bros.

     

    Over the past few years, Time Warner has shorn off non-core business such as cable, internet and publishing and comprises a group of television and movie companies and has seen its stock price triple over the last five years.

     

    Last month on completing the spin-off of Time Inc., Bewkes said: “The spin-off of Time Inc. completes the process we began several years ago to position Time Warner as the world’s leading video content company.  Our strategy reflects our commitment to delivering strong returns to our shareholders as we light up the world with the best storytelling.  The spin-off gives Time Warner even more focus as we continue to deliver on this strategy.”

     

    A few days before the Time Inc., spinoff, as part of the studio’s television growth strategy, Times Warner subsidiary Warner Bros. Television Group (WBTVG) had announced that, following receipt of regulatory approvals, it had completed its acquisition of all Eyeworks’ businesses outside the US, in 15 countries across Europe, South America, Australia and New Zealand, adding 13 new territories to its international network of production companies. The company said that the Eyework acquisition further strengthened Warner Bros.’ international television production capabilities and sees Warner Bros. take over all of Eyeworks’ international distribution activities for both formats and finished product.

     

    The largest media deal so far was the Time Warner-AOL merger in 2000-01 worth USD 164 billion and was once considered as one of the biggest ‘mistakes’ in corporate history by Bewkes.

     

  • Creating the world’s largest content production behemoth

    Creating the world’s largest content production behemoth

    MUMBAI: When it’s the Murdochs you have to think big. Big with a capital B.  No less. Consider the 21st Century Fox’s latest announcement that it has entered into a preliminary agreement, with funds managed by affiliates of private equity (PE) firm Apollo Global Management to form a joint venture that seeks to bring the Shine Group, Core Media Group, and Endemol under one umbrella.

     

    The new initiative has conditions attached.  It will have to be jointly owned and managed by the two groups. 21st Century gave no assurances that the proposed transaction would be completed. 

     

    But if it does go through, it will create the world’s largest independent production engine (estimates are that its valuation will be in the region of $2 billion). The proposed Apollo 21st Century joint venture will boast a roster of shows such as Big Brother, Deal or No Deal, The Money Drop and Your Face Sounds Familiar, Total Wipeout, The Million Pound Drop Live, Peaky Blinders and Ripper Street (under Endemol); MasterChef, The Face, The Biggest Loser, The Bridge and Broadchurch (through Shine) and So You think You can Dance and American Idol (through Core Media).

     

    Both 21st Century and Apollo have their own compulsions to make the deal happen, though how it will happen is not clear. Shine, Endemol and Core Media own a complex web of production companies worldwide headed by various senior executives.

     

    Apollo, for its part, has been eager to consolidate its TV production holdings through Endemol and Core Media and even find a partner to further its global ambitions. It has $125 billion in assets in several sectors in its portfolio.

     

    Apollo wanted a piece of the content production pie and forayed into TV production when it acquired CKX Media (along with it came Simon Fuller’s 19 Entertainment which co-owns the Idol format franchise) in 2011, renaming it later as Core Media.  

     

    The PE firm then went on to expand its TV production presence by acquiring a stake in Endemol after buying out owners Goldman Sachs and Sylvio Berlusconi’s Mediaset in 2012.  Endemol has a presence in 30 countries through 90 companies, makes more than 15,000 hours of programming every year for 300 broadcasters and has a handsome catalogue of 2000 formats.

     

    Apollo currently co-owns Endemol with Cyrte Investments (a fund closely associated with Endemol founder John de Mol and now renamed as Daysim Investment Strategies).  It tried to merge Core and Endemol but backed off when de Mol opposed the move in 2012. De Mol, for his part, attempted to unite Endemol with his current media vehicle Talpa Media earlier this year, but jettisoned the deal when the sticker price went up.

     

    Earlier, in 2012, Apollo explored the possibility of fusing Endemol and Core Media with investment from former News Corp CEO Peter Chernin’s Chernin Entertainment. But the discussions were aborted.

     

    Murdoch has his own imperatives to make the deal happen. It gives 21st Century the opportunity to exit from the Shine group, which was acquired by News Corp in 2011 for $675 million. He had come under severe criticism of nepotism as Shine was founded and run by his daughter Elisabeth, who now functions as its chairman. Today, Shine is owned by 21st Century after Murdoch restructured News Corp into two units – News Corp and 21st Century – following the phone hacking and police bribery scandals in the UK.  And it has 26 production companies across 11 countries including Shine TV, Shine America, Judos Film & TV and Princess Production in its portfolio.

     

    The deal is an indication of how Murdoch sees his media empire structured going forward. His movie production and television broadcasting businesses figure under a single vehicle 21st Century.  His newspaper and publishing interests under News Corp. His satellite, platforms and pay TV business under British Sky Broadcasting (BSkyB – has recently announced that it has made an offer to acquire 21st Century’s investment in Sky Deutschland and Sky Italia, leading pay TV platforms in Europe).

     

    BSkyB, Sky Italia and Sky Deutschland are owned by 21st Century with differing equity stakes. And his content production business is now slated to be under the joint Apollo and Shine venture.

     

    The proposal is timely. The content production landscape is undergoing a wave of consolidation: recently, Discovery Communications and Liberty Global agreed to buy UK production company All3Media for $930 million and Britain’s ITV snapped up 80 per cent of Leftfield Productions for $360 million.

     

    Agglomeration in content production in Europe and the US is following in the wake of consolidation in the pay TV business, where companies such as Comcast are showing an urge to merge in order to strengthen their negotiation power with content providers.

     

    The Apollo-21st Century joint venture, if it goes through according to reports, will also focus on expanding the combined entity’s focus beyond unscripted formats to scripted shows and on digital productions for online and over the top service providers. And, if it does get realised, it could spark off another wave of acquistions by other content producers as they try and join the getting-scale race too.

  • Lachlan Murdoch appointed as News Corp non-executive co-chairman

    Lachlan Murdoch appointed as News Corp non-executive co-chairman

    MUMBAI: News Corp has got its new non-executive co-chairman in Lachlan Murdoch. The announcement was made by the News Corp board of directors on 26 March. 

     

    “This appointment is a sign of confidence in the growth potential of News Corp and a recognition of Lachlan’s entrepreneurial leadership and passion for news, digital media and sport,” said News Corp executive chairman Rupert Murdoch in a statement.

     

    “In this elevated role, Lachlan will help us lead News Corp forward as we expand our reach and invest in new technologies and markets around the world.  We have many challenges and opportunities ahead, and Lachlan’s strategic thinking and vast knowledge of our businesses will enable me as executive chairman and the company as a whole to deliver the best outcomes on behalf of our stockholders, employees and customers,” added Murdoch.

     

    Lachlan Murdoch is currently a director of News Corp and 21st Century Fox, executive chairman of NOVA Entertainment Group, executive chairman of Illyria Pty and director of Sydney’s Museum of Contemporary Art.  Until recently, he also served as non-executive chairman of Ten Network Holdings.  Under his leadership, NOVA Entertainment Group became Australia’s number one national FM network.

     

    Prior to founding Illyria in 2005, Lachlan was the deputy chief operating officer of News Corporation (now 21st Century Fox), a role in which he was directly responsible for two thirds of the company’s global revenue, with specific emphasis on its US television stations group and publishing assets.

     

    While at the former News Corporation, Lachlan had oversight of HarperCollins and the company’s lines of business in Australia, including REA.  He also served on the Board of Foxtel and as chairman of Fox Television Stations and publisher of the New York Post.  At Fox Television Stations, Lachlan oversaw the company’s 35 owned-and-operated television stations, where he raised the bar on local news coverage nationwide, increasing the total number of local news hours across the group to more than 850 per week.  At the New York Post, Lachlan overhauled the tabloid and grew its circulation by more than 40 per cent.  During his tenure, the Post became the nation’s fastest growing newspaper and the seventh largest in the United States

     

    “I’ve had the pleasure of knowing and working with Lachlan for a number of years, and I’m delighted he’ll be serving in this elevated capacity,” said News Corp chief executive Robert Thomson.

     

    “Lachlan’s experience, acumen and enthusiasm will serve us well as we guide News Corp and its businesses through this era of digital transformation and global expansion.  His early appreciation of the value of REA, the digital property site that is a jewel in our crown, is an indicator of his prescience and strategic savvy,” informed Thomson.

     

     “I am grateful to the Board of News Corp for this exciting opportunity, and I’m looking forward to working more closely than ever with my father as well as Robert Thomson and his team, who have launched the new News so successfully,” said Lachlan Murdoch. 

     

    “News Corp today has the energy and sensibility of a start-up and is at the cutting edge of change in the media, publishing and education industries, and much more,” he concluded. 

  • TDSAT directs Hathway Cable to pay Rs 9 crore to Star Sports

    TDSAT directs Hathway Cable to pay Rs 9 crore to Star Sports

    MUMBAI: The country’s leading mult-system operator (MSO) Hathway Cable and Datacom and Rupert Murdoch-owned sports broadcaster Star Sports are engaged in two legal battles in the Telecom Disputes Settlement and Appellate Tribunal (TDSAT).

     

    In the first case, the TDSAT has directed the two parties to settle their dispute over the outstanding dues in the tribunal’s mediation centre. In the interim, in an order last week, the TDSAT had ordered Hathway Cable to pay Rs 8.57 crore to Star Sports within one week in settlement of some of the dues.

     

    Hathway Cable has already made the Rs 8.57 crore payment. The MSO and the sports broadcaster will meet at the mediation centre on 27 March to discuss and settle issues over other payments that are due to Star Sports.

     

    The order reads: “The petitioner admits the dues to the tune of Rs 8,57,18,075. It is further stated on behalf of the petitioner that Rs 1,16,12,554  was  deducted as tax payable at source and the petitioner will give the requisite certificates to the respondent within a week from today. The difference between the dues claimed by the respondent and admitted by the petitioner is thus in the vicinity of Rs 1.93 crore and odd. At this stage, it also needs to be noted that according to the respondent two cheques which added up to Rs 60,27,135 and which are shown in the petitioner’s statement of accounts as having been given to the respondent were not actually received by it. This amount would, therefore, be subject to verification.  In case the cheques have in fact not been given to the respondent the petitioner must pay the admitted amount of Rs 8,57,18,075 plus Rs 60,27,135. The aforesaid payment must be made to the respondent within one week from today i.e. by 17.03.2014.”

     

    In another case filed by Star Sports against the MSO, the sports broadcaster has claimed that in the DAS phase I cities of Mumbai and Delhi, Hathway Cable has been violating the regulatory process by removing Star Sports out of its channel packs and placing them as a la carte without reducing the pack price or substituting the channels. It claims that the MSO is charging additional money for adding the channels above the pack.

     

    This case will come up for hearing on 19 March. TDSAT has already asked Hathway Cable to file an affidavit showing that it is complying with the regulations, the number of subscribers who have requested Star Sports and the number of subscribers for whom Star Sports has been activated.

  • Rupert Murdoch sells Fox’s TV stake in China

    Rupert Murdoch sells Fox’s TV stake in China

    MUMBAI: After divorcing his third wife, Wendi Deng, Rupert Murdoch has ended all ties with China by selling off 21st Century Fox’s minority stake in the broadcaster Star China TV to a private equity.

     

    Star China’s majority shareholder since 2010, China Media Capital, has agreed to buy Murdoch’s remaining 47 per cent stake for an undisclosed sum, estimated to be roughly $150 million.

     

     

    The existing Chinese management team will remain in place, broadcasting three Mandarin channels and producing China’s Got Talent.

     

    The move means that it is the final stage of a retreat from China, which Rupert Murdoch has tried to crack since 1993.

     

    However, as part of 21st Century Fox, Star TV, will now continue to focus its ambitions on India.

     

    James Murdoch oversees 21st Century Fox’s international businesses.

  • “We will use the Indian jersey to promote all our brands” : STAR INDIA COO SANJAY GUPTA

    “We will use the Indian jersey to promote all our brands” : STAR INDIA COO SANJAY GUPTA

    Cricket – a game played on the greens with men in various colours battling it out with a bat and a cherry. And watched by billions of viewers worldwide. And the Rupert Murdoch-owned 21st Century Fox’s Indian arm Star India once again reaffirmed how much it is committed to  the game when the Board for Control of Cricket in India (BCCI) announced that it had agreed to become the title sponsor of the men in blue for the next four years.

    It already has the television, internet and mobile broadcasting rights to domestic cricket, it made a lucrative offer to become an associate sponsor of the IPL, and is investing in different language streams of commentary and channels for the game, and what have you. Clearly, apart from entertainment, sport is coursing through the management’s veins in India.

    Indiantelevision.com’s Seema Singh spoke to Star India COO Sanjay Gupta on the reasons behind the sports drive, the title sponsorship of team India, the challenges that lie ahead in monetising all its investments.

    Excerpts: 

    What was the need to take the title sponsorship of the Indian cricket team? How many days of cricket will be played from 2014 to 2017?

    It is a very important sponsorship for us. Cricket helps build awareness of brands and associations and we are seeking value coming from both. It is a serious value that we see as a business and hence this sponsorship.  Broadcast right gives us the opportunity to put TV ads on air. What the Title Sponsorship gives us is the name on the jersey, which is a very different asset. So now we can put an ad and also logo on the jersey. So in my mind, the way we are using it is that the jersey will be used to make the Star brand more salient in our viewer’s minds. Approximately 100 or more matches will be played in this period.

    Are you planning on any innovation as compared to Sahara, the previous title sponsor?

    We believe that sport is an asset that can be used for building and marketing brands in a very effective way. This hasn’t been exploited so far in India, as compared to sports globally.

    Our aim is to reinvent sports and we spoke about this when we said ‘refresh sports.’ We thought of adding non-live content and we wanted to do it in Hindi.

    We would be using Star brands, and it could be Star Sports, Star Plus or Life OK, which could find its presence on the Indian jersey once our sponsorship commences. We would like to build our brand in a very effective way using this association.

    When Sahara sponsored the Indian team, it never put any money on television. But, we believe that the combination of putting money on television and sponsoring the jersey could be a great innovation to build stronger brands. We will get a multiplier with television.

    When the jersey has a Star Plus logo, viewers will also be informed about Star Plus shows and what the channel stands for.

    Are you allowed to change the cricketing gear as part of the title sponsorship deal?  If yes, are you looking at changing the look of the jersey?

    The jersey’s look is the call of BCCI.  Since we are the title sponsor, the jersey will now have our brand name. We are looking at using multiple brands on the jersey depending on the need. So we could start with Star Plus, and after a year think of putting Life OK’s logo on the jersey.

    With Star India banking getting its hands so deeply embedded in cricketing, there is a perception of a monopolistic setup coming into the picture?  Your take on that.

    In my mind, if I look at cricket content, it is very equitably distributed amongst all the three sports channels. So, while we have the BCCI content, Sony runs the IPL, which is the biggest cricket tournament. Besides this, Ten Sports has the rights to South Africa, West Indies and the Sri Lanka series.

    All the three brands have strong cricket content. This makes it interesting, since having cricket on all platforms makes it reach larger audience base and in turn builds sports in the country.

    Many feel that cricket is overvalued, then why is Star investing so much on the sports?

    In my mind, cricket is undervalued. If you see all pieces of content: drama, sports, news, Bollywood, the content which has the biggest affinity and reaches the largest audience is cricket. 64 crore people watched the sport last year, which is higher than any piece of content and this cuts across all regions and languages. So cricket according to me is not at all overvalued.

    Sports help build brands, not locally, but nationally. And most people who today look at building brands are looking nationally and not only in select states. Anybody who feels that cricket is overvalued and doesn’t have power, needs to see its power through its reach and the impact it has on consumers.


    I personally feel that the sports content has been limited to English language and a few people. So taking sports deeper into regional market is essential and this hasn’t been done so far.

    The biggest heroes are the cricketers of the country. They are young talented people, performing well. Investment in sports and cricket is justified.

    You can never get enough of good quality sports and content; viewers  will always want more.

    Will you be backing other sports and diversifying your sports portfolio?

    Yes! We want to. We think cricket is the main stake, but we are not a single sports nation. There is a large followership of football. We are investing in football and hockey in a big way. We are going ahead and investing in Hockey India League. We have already shown our intent in badminton, by sponsoring the Indian Badminton League. We will invest money in all sports.

    Cricket was the one sport where we were not the partners. Now we have invested in that as well.

    With India losing on foreign grounds, do you see that as a problem for your investment and viewership?

    No, I don’t. I have high level of confidence that both sport in general and cricket in particular, will have its following and deeper engagement. We have opportunity to perform better even outside and it is not that we haven’t performed. In England we did well. We performed well across best teams and across best seaming pitches. It is a phase in any team.  But fundamentally, I feel that Indian team is performing dramatically. The game of cricket has got deeper in this country. All these new cricketers are from smaller towns. Even younger generation now feels they can be a part of team. The coming in of IPL has just deepened that desire of becoming a part of the team.

    What is needed to monetise your investments in sports? Do you think digitisation will help? Even if it is not proceeding as smoothly as you expect? 

    I personally feel that the sports content has been limited to English language and a few people. So taking sports deeper into regional market is essential and this hasn’t been done so far. So to fortify sports we want to reach out to different regions and into other sports, beyond cricket. We want to make sports big for every member of the family.

    Monetisation of sports is a challenge, given there is very limited transparency in terms of numbers given by analogue distribution system. I think, with digitisation we are seeing that changing over the next few years.

    Yes, there is a challenge with the MSO vs LCO tussle. But, I am an optimist and I feel there will be a better tomorrow than what is today. Also I think the overall content and media market is growing so much that every stakeholder has a potential to earn and earn reasonably and in a fair way.

    So, I see a very fair distribution of income and every stakeholder: MSO, LCO, Broadcaster will earn a fair amount.  The reality is that of the 140 million cable TV homes, already 70 million are digital between DTH and cable, which is a big leap in two years time. This market is large and is growing fast. Though there are hiccups, I am confident that things will be better.

    Digitisation will ensure that every household is well connected with a transparent set top box, a measurement system which is more transparent and fair money will exchange hands. I don’t know if it will happen in couple of months, but I am sure that in the next three to five years, life will be dramatically different.

    But the time is limited between the sponsorship, the broadcast rights and digitisation. What if there is a mismatch? How will you recover investments?

    Our sponsorship is a way to build our brand.  We have an opportunity to make our brands bigger.  As far as the broadcast rights are concerned, we will work towards resolving issues on the ground and related to monetisation as we move forward. Yes, I agree there is a risk, but we believe there is a reasonable risk and hence the investment. 

    Is your associate sponsorship continuing for the IPL?  Also would you take the broadcast rights once the rights for Sony expires in 2017?

    We had taken the rights for three years. So it will continue for two more years.
    As for the broadcast rights, there is nothing definite right now. We have invested a lot of money in sports already and we would like to see some returns first, before we make up our mind if we want to invest more. The big question for us today is how to ensure that the big investments we have made start reaping results.
    Our commitment made in rights is close to Rs 20,000 crore. It is a huge bet. We need to now unlock value and how do we take content deeper and also invest in more sports.

    Are you seeing an uptick in Star India’s ad revenues?

    Overall the mood in the economy is not very buoyant and I think everybody this year has been very careful on where they are investing. However, as we move forward, people will look at building their brands, so they will spend on advertising as it helps build strong brands. We will have bilateral discussions with brands. We are excited about the future.

    Growth rate in this country will not be less than 4.5 to 5 per cent in the next few quarters. And it may get better depending on the policies, with the party coming to power.

    Star India is seeing a very healthy growth rate, much ahead of what the market is seeing. I think the market will in the next seven to nine months grow at 10-12 per cent and we are significantly ahead of that in terms of numbers.

    Is there scope for sports viewership to grow in India and what is the advertising revenue earned through this reach?

    The sports channel viewership is approximately 4 per cent in India, while that globally is 15 per cent. We think there is a scope for growth and Hindi and other regional language commentary will help achieve that growth in reach.  Of the total advertising revenue, sports amounts to 10 per cent revenue share. 

  • Rupert Murdoch clashes with Tony Blair over Wendi Deng

    Rupert Murdoch clashes with Tony Blair over Wendi Deng

    MUMBAI: Media baron Rupert Murdoch and his ex-wife Wendi Deng may have called it quits, but there seems to be lots brewing between the two even now. Several media reports are hinting towards a rift between Murdoch and Tony Blair. The reason being stated is the former premier’s friendship with Wendi.

     

    Though Blair had always stated that his relationship with Deng is platonic, it is learnt that Murdoch has refused to speak to him since filing for divorce from Deng in June.
    According to reports, the breakdown of the friendship between the two men is being attributed to the claims that both Blair and Deng met on several occasions without Murdoch’s knowledge.

     

    It was in June that Blair had to come out in open to clear the air which linked him to Murdoch’s divorce. At the time, his spokesman had told the Hollywood Reporter: ‘If you are asking if they are having an affair, the answer is no.’

     

    An acquaintance of Murdoch was quoted: ‘Rupert Murdoch will have nothing more to do with Tony Blair. Not ever.’ Several media reports were seen quoting Murdoch’s friends.  In a report published in The Mail, another friend of Murdoch said: ‘If you think that Rupert made a decision to end his marriage and a long-term friendship without just cause, you are sorely mistaken.’

     

    However The Mail also quoted a close friend of Blair saying: “The ridiculous stories about Wendi and Tony’ were not true.” Blair’s friends insist that the relationship between Blair and Deng was innocent and that they never met alone.

     

    While the duo had formed a strong friendship, with Blair becoming god- father to the Murdochs’ daughter Grace in 2010, this rift surely comes as a shock to many.

  • Rupert Murdoch’s pay for latest fiscal year dropped to $28.9 mn

    Rupert Murdoch’s pay for latest fiscal year dropped to $28.9 mn

    MUMBAI: Rupert Murdoch’s compensation for the latest fiscal year dropped 3.7 per cent to $28.9 million.

     

    He had made $30 million the previous year, but saw a slight decline in the latest period ended 30 June, according to a regulatory filing Friday.

     

    The filing was made by his entertainment conglomerate 21st Century Fox, which was created along with new News Corp in a split mid-year. The pay for the latest year was for Murdoch’s work as chairman and CEO of the pre-split News Corp.

     

    The fiscal-year pay for former News Corp and now 21st Century Fox deputy COO James Murdoch, the media mogul’s son, rose 1.2 per cent from $16.84 million to $17.04 million.

     

    Chase Carey, president and COO of the pre-split News Corp and now 21st Century Fox, made $27.05 million in the latest year, up 9.2 per cent from $24.76 million in the fiscal year ended 30 June 2012.

     

    Rupert Murdoch’s salary for the latest year was unchanged at $8.1 million, his stock awards rose from $3.51 million to $5.16 million, and he also received a $12.5 million non-equity incentive payout, a form of bonus he received instead of the bonus that he had gotten a year earlier. His other compensation included $274,531 in personal use of the corporate aircraft and $15,694 in personal use of a corporate car. The conglomerate’s stock rose 46 per cent in the most recent fiscal year.

     

    James Murdoch’s salary was unchanged at $3 million, his stock awards rose from $5.26 million to $7.48 million, and he got $6 million in non-equity incentive compensation. Among his other compensation was $283,035 in personal use of the corporate aircraft and $8,925 in personal use of a corporate car. The executive oversees the company’s international operations.

     

    Carey’s salary was also unchanged at about $4 million, his stock awards rose from $8.77 million to $12.91 million, and his non-equity compensation amounted to $10 million. His other compensation included $60,067 in personal use of the corporate aircraft and $14,400 in personal use of a corporate car.

  • NBC is set to showcase elite football

    NBC is set to showcase elite football

    MUMBAI: Fox Sports 1, Rupert Murdoch’s challenge to ESPN, will face tough competition from NBC Universal as it opens the first season of its three-year, $250 million deal with England’s Premier League, which will show every game on television or on digital streams.

     

    NBC is augmenting the games, which are being produced by the league, with its announcers, saving on costs.

     

    “It’s a blue-chip property that has not been exploited in the way that we will take advantage of it,” said NBC Sports president programming Jon Miller, which is being rebranded as NBCSN. “It provides all 380 games to every fan at no additional cost, which has never been done before.”

     

    True, but the 184 games that will be digitally streamed free on Premier League Extra Time will be accessible only to those who pay for cable, satellite or telephone company subscriptions that include NBCSN. The strategy underscores how important NBCSN is to its parent company’s sports future and how media companies like NBC Universal want to keep subscribers from cutting their cords to pay-TV providers. Extra Time is widely available; the only major cable provider that has not signed up is Charter.

     

    Those cable, satellite and telephone subscriptions will also be required for laptop and smartphone users looking to watch the full Premier League schedule on NBC Sports Live Extra, the TV Everywhere platform.

     

    In all, NBCSN will carry 154 games, the surest sign that the deal was structured to benefit the cable network by filling a lot of time slots with elite soccer, with replays of the day’s and week’s best matches, and studio programming. In addition to Extra Time’s 184 games, NBC will broadcast 21 games, CNBC eight, USA six, and the remaining seven have not been assigned.