Punditry StaffLet us go back to late July 2020 when James Murdoch, son of the infamous Australian-born Rupert Murdoch, the founder of the Fox Network, resigned from the board of News Corp. citing “disagreements over certain editorial content“. Consider where News Corp. is today under the microscope of the Dominion Voting Machines’ $1.6 billion lawsuit, and one cannot but wonder if senior Murdoch ignored the son at his own peril.
One cannot but wonder had the father listened to his son James, where would News Corp. be today? Would it be fighting two big lawsuits, one from Dominion and the other from Abbie Grossburg, a producer who claims Fox attorneys coached her into lying for the network and withheld key evidence during discovery? Or, would it be enjoying bonanza ratings and the respect of its viewers as a real news organization, and not the propaganda machine it has become.
Fellow readers, the likelihood Fox may face more lawsuits to come as the result of the discovery in the Dominion lawsuit is almost a guarantee. This deep well is becoming Fox’ own deep grave.
OK, so the son James is a liberal, which got him in hot water with his father, but his father’s conservatism and loose ethics got him in trouble with the law. Which would you rather be struggling with today?
SON, I WRONGED YOU
Back in July, the more liberal James Murdoch resigned because he disagreed with the direction the Fox News Corp. was taking to spike its ratings now we know at the expense of the truth.
and wrote for CNN Business:
OK, so the son James is a liberal, which got him in hot water with his father, but his father’s conservatism and loose ethics got him in trouble with the law. Which would you rather be struggling with today?
Stelter and Darcy go on to write about the statement Rupert and Lachlan issued in response to the resignation of the younger James:
All this has happened before Trump lost the elections in November 2020. If only father listened to his son, would you not say?
Down-your-throat Conservatism has run its course at Fox.
THE IMPACT OF THE LAWSUITS
Fox may have to pay up to $4 billions if the plaintiffs prevail in court, which looks more and more like the outcome we should all expect. Unless, Rupert Murdoch finds a way for the lawsuits to go away by paying what amounts to a real hefty sum south of $4 billions to settle out of court.
This is a big dent in the Fox network financials. The Fox cash on hands levels were down to just over $4 billions by December 1, 2022.
And considering that one shareholder recently filed a lawsuit against Fox for depressing the value of their investment as a result of playing loose with the truth, the flood gates may soon open in ways that Fox can no longer control. Damn if Fox settles out of court, which depresses the stock as more lawsuits follow, and damn if a jury finds for the plaintiffs, which will have even worse results on the stock.
In fact, the network may have to file bankruptcy. Such action would certainly also devalue the stock because cheap money would immediately dry up. A capital that Fox needs to fuel growth.
Senior Murdoch ignored his son James at the peril of the company and his own net worth. We wonder if the 94-year-old Murdoch realizes his mistake. We wonder if he has called his son to invite him to run the company in a new direction.
Down-your-throat Conservatism has run its course at Fox.
Senior Murdoch Ignored Son at His Own Peril
Punditry Staff
