
Dec 07, ‘07 — Rupert Murdoch installed his own leadership team at Wall Street Journal publisher Dow Jones & Co. on Friday, a week before his acquisition of the company is expected to close. He also tapped his son James as heir apparent to his media empire News Corp.
Les Hinton, who has spent his career at News Corp.’s newspapers, will become CEO of Dow Jones next week, following a vote of the company’s shareholders on Dec 13. Hinton currently oversees News Corp’s papers in the United Kingdom, including The Times, The Times Literary Supplement, The Sun, and News of the World.
Robert Thomson, editor of The Times, will become publisher of the Journal. Dow Jones also owns Dow Jones Newswires, Barron’s and a news database business called Factiva.
James Murdoch was named boss of News Corporation in Europe and Asia on Friday in a move seen as putting him in line to succeed father and media mogul Rupert Murdoch as head of the sprawling empire.
The promotion of James Murdoch, the youngest of four children, marks a remarkable rise through the boardroom ranks for the only family heir inside News Corp, the US conglomerate chaired by his Australian-born father.
The younger Murdoch, who assumes his London-based post with immediate effect, is in charge of assets including News International UK, Sky Italia, the Asian-based Star TV and News Corporation Europe, the group said in a statement.
As chairman and chief executive of Europe and Asia, Murdoch will also oversee the Wall Street Journal Europe, The Times and The Sun as well as Australian publications controlled by News Corp.
The 34-year-old leaves his post as chief executive of British satellite television broadcaster BSkyB, in which News Corp is the leading shareholder, but will assume his father’s role as BSkyB non-executive chairman.
The reshuffle, which confirms what a source earlier told Reuters, appears to address the long-term speculation of who will eventually take over the media and communications conglomerate from the 76-year-old media mogul.
Rupert Murdoch’s older son, Lachlan, 36, had initially been seen as the leading contender during his time at News Corp but he left the group in 2005 to start a new venture.
Murdoch’s daughter Elisabeth, 39, has also been viewed as a dark horse candidate over the years. The former managing director of Sky Networks struck out on her own in 2000 and launched her own TV production company.
“This is grooming James for a larger role longer term at News Corp,” Pali Research analyst Richard Greenfield said. “He has proved himself beyond a doubt over the last several years at BSkyB.”
James Murdoch joined Sky in November 2003 and has expanded the company from its pay-TV roots to add broadband and telephony services. News Corp owns 39 percent of the company.
But like his father, he has proved to be a risk taker. He has also drawn the attention of regulators, leaving the group engaged in three separate investigations and a law suit with fierce rival Virgin Media.
His most audacious move came in November 2006, when he purchased a 17.9 percent stake in Britain’s biggest free-to-air commercial broadcaster ITV.
Murdoch said the purchase was a long-term investment but its rivals accused him of trying to prevent ITV from being bought by NTL — now renamed Virgin Media — and the deal is still being investigated by the UK Competition Commission.