More stories

  • in

    The Successor review: life of Lachlan Murdoch pulls punches all too often

    The Successor review: life of Lachlan Murdoch pulls punches all too oftenReaders of Paddy Manning’s book should keep in mind the words of Media Matters: Fox News is ‘an unchained pro-Trump propaganda outlet that promotes white nationalism’ The Murdochs are in many ways the most important media story of the last 50 years. On three continents their shoddy journalism, blind political ambition, outright racism and unlimited greed have done more damage to democracy than the actions of all their rivals put together.From George Floyd to Hunter Biden: Lachlan Murdoch, Fox News and the year that tested AmericaRead moreThe family’s internal competitions and political alliances are the subjects of dozens of books and documentaries, as well as the inspiration for Succession, the HBO hit now filming its fourth season.The Australian journalist Paddy Manning’s new book focuses on Lachlan Murdoch, the family’s current leader who will be fully in charge if his 91-year old father, Rupert, ever completely retires.This 359-page volume is a gigantic clip shop, giving us the greatest hits of everyone from Roger Ailes’s biographer, Gabe Sherman, to the Vanity Fair media writer Sarah Ellison and the investigative reporter Nick Davies, who broke so many of the details of the Murdoch newspapers’ illegal hacking of voicemails in the pages of this paper.The author’s main problem is that he has no judgment about what’s important to include and what ought to be left out. As a result he gives us equally dense accounts of Lachlan Murdoch’s early, disastrous media investments, the family’s efforts to create a new rugby competition in Australia and the sexual harassment scandal that finally ended the career of Ailes at Fox News.Manning also has no idea about which parts of this story are most important. An early section describes Rupert Murdoch’s brush with insolvency after he over-extended himself in the 1980s. But Manning never mentions the main reason: Murdoch’s vast overpayment of $3bn for Walter Annenberg’s TV Guide and his other Triangle properties in 1988, a purchase which turned out to be about as sensible as Elon Musk’s $44bn purchase of Twitter. Annenberg said he called Warren Buffet for advice about whether to take Murdoch’s bid, and Buffet replied: “Run to the bank!”None of the details of the TV Guide deal appear in these pages. Serious students of the Murdoch saga won’t learn anything new. But there are plenty of eye-popping numbers to remind most of us that the rich are not at all like you and me.The Successor opens with Lachlan relaxing with his wife on a new $30m yacht – a present for Sarah’s 50th birthday – which turns out to be a placeholder for a $175m yacht under construction in a Dutch shipyard. The couple paid “a stunning $37m for a boatshed and jetty at Point Piper, a few minutes’ drive form their $100m Bellevue Hill Mansion”.In 2007, the Murdoch family trust filed notice that each of Rupert Murdoch’s six children was getting $100m of News Corp stock, plus $50m in cash. Which sounds like a lot until you find out that after Disney paid $71bn for various Fox assets, each Murdoch child received “roughly $2bn” in Disney stock.Manning’s inability to make sensible judgments about any of this is suggested by his decision to quote the Massachusetts senator Elizabeth Warren’s spot-on description of Fox News as a “hate-for-profit racket” – and then offer, in his very next sentence, his judgment that Lachlan was “a laid-back Australian and all-round smooth operator: spectacularly rich, impeccably mannered, handsome, open minded, adventurous, savvy, fun”.Similarly, after describing a Sydney mansion bought for $23m in 2009 and renovated for $11.7m, with room for two custom-built Porsche Panamera sedans at $300,000 each, just a few pages later Manning credulously quotes the Murdoch lackey Col Allan on Lachlan’s “deep appreciation of that part of America that’s ignored by the coastal liberal elites. I think it is true that Australia and its egalitarianism has had a profound and very positive effect on Lachlan’s nature and his cultural views”.Egalitarianism?The cost of Rupert Murdoch’s naked nepotism included a $139m settlement News Corp paid in 2013 after the Massachusetts Laborers’ Pension & Annuity Funds alleged that his children on the News Corp board “should be liable for its refusal to investigate and to stop known misconduct at the company”. It was “the largest derivative settlement in the history of Delaware’s court of chancery”.The book veers beyond implausibility when it describes the relationship between Lachlan and Tucker Carlson, who has become one of the Murdochs’ biggest cash cows by pushing racism, xenophobia and wild conspiracy theories. According to Manning the two men, “close in age”, share “a kind of philosophical bent”.After far-right protesters in Charlottesville, Virginia, in 2017 shouted “Jews will not replace us”, Kathryn Hufschmid, married to Lachlan’s brother James, insisted they issue a statement declaring “standing up to Nazis is essential; there are no good Nazis”. According to the New York Times, Kathryn said to her husband: “If we’re not going to say something about fucking Nazis marching Virginia, when are we going to say something?” Lachlan never followed his brother’s lead.The pervasive power of Rupert Murdoch: an extract from Hack Attack by Nick DaviesRead moreCarlson refused to condemn the neo-Nazi protesters and did “a bizarre segment on slavery in which he listed good people who had owned slaves, including Plato, the Aztecs and Thomas Jefferson”.To his credit, Manning quotes the judgment of the activist group Media Matters, that Fox News had become “an unchained pro-Trump propaganda outlet that promotes white nationalism” just “as Lachlan Murdoch’s control over the network steadily increased … he is happy to profit from the forces he continues to unleash”.But then, incredibly, the author describes Lachlan as devoted to “a vibrant marketplace of ideas, serving to raise the standard of public debate”, which “must offer a diversity of news and opinion … His closest advisers say a belief in free speech, in all its diversity, is Lachlan’s ‘north star’”.Why would anyone trust an author who can’t distinguish between racism for profit and celebration of free speech?
    The Successor: The High-Stakes Life of Lachlan Murdoch is published in the US by Sutherland House Books
    TopicsBooksLachlan MurdochRupert MurdochJames MurdochNews CorporationMedia businessFox NewsreviewsReuse this content More

  • in

    From George Floyd to Hunter Biden: Lachlan Murdoch, Fox News and the year that tested America

    From George Floyd to Hunter Biden: Lachlan Murdoch, Fox News and the year that tested America In an extract from his biography The Successor, Paddy Manning considers how Rupert Murdoch’s favored son dealt with the challenges of 2020, and what might come nextThe murder of George Floyd by Minneapolis police officer Derek Chauvin on 25 May 2020, captured on video, turned Black Lives Matter into the biggest protest movement in the history of the United States, with more than 15 million people turning out to demonstrations, some of them violent, in 550 towns and cities across the country.Murdoch’s succession: who wins from move to reunite Fox and News Corp?Read moreFox News had a history of antipathetic coverage of BLM, which took off after the police killing of an 18-year-old Black man, Michael Brown, in Ferguson, Missouri, in 2014. Former primetime host Megyn Kelly subverted the narrative, asserting that Brown’s reported last words, “Hands up, don’t shoot,” were a lie, and that Brown was the aggressor. Twenty-six-year-old Fox Nation host Tomi Lahren described Black Lives Matter as “the new KKK”. Fox commentators had also defended police and rejected claims of systemic racial injustice in America. Nevertheless, the public reaction to Floyd’s murder was on a completely different scale to earlier protests, and it took place amid swirling speculation that Donald Trump would declare martial law.On the Monday morning, Lachlan Murdoch tried to set a conciliatory tone in an internal statement, urging Fox employees to “come together in their grief, work to heal, and coalesce to address injustice and inequity in our country”. After the tragic death of George Floyd, Murdoch continued:.css-lf9l6c{height:1em;width:1.5em;margin-right:3px;vertical-align:baseline;fill:#866D50;}It is essential that we grieve with the Floyd family, closely listen to the voices of peaceful protest and fundamentally understand that Black Lives matter. The FOX culture embraces and fosters diversity and inclusion. Often we speak of the ‘FOX Family,’ and never has the need to depend on and care for that family been more important. We support our Black colleagues and the Black community, as we all unite to seek equality and understanding … This is an ongoing conversation, and no one has all the answers in this moment.Some of Fox’s highest-profile commentators seemed to miss Lachlan’s memo. That same night, Tucker Carlson bemoaned the protests. “The nation went up in flames this weekend,” he opined. “No one in charge stood up to save America. Our leaders dithered and they cowered, and they openly sided with the destroyers, and in many cases, they egged them on … The worst people in our society have taken control.” Laura Ingraham blamed Antifa and “other radical elements” and said the death of Floyd had nothing to do with the violence, which was “part of a coordinated effort to eventually overthrow the United States government”. Days later, Fox News had to apologize after an episode of Special Report with Bret Baier aired a chart showing how the stock market had rallied in the days immediately after the assassination of Martin Luther King Jr in 1968, the bashing of Rodney King in 1991, and the more recent killings of Michael Brown and George Floyd. Fox acknowledged the chart was insensitive and Baier apologized for a “major screw-up”. There followed an internal phone hook-up with many of its Black staffers, led by Scott, to discuss the network’s racist and hostile rhetoric towards the BLM protests. The open forum was unprecedented, but Lachlan wasn’t there and it resolved little.As the protests dragged on, Carlson only grew more strident, attacking the president for failing to re-establish law and order, calling BLM a “terror organization” and Minneapolis “our Wuhan”. In early July, CNN discovered that Carlson’s chief writer, Blake Neff, had for years been using a pseudonym to post a stream of bigoted remarks denigrating African Americans, Asian Americans, and women on an online forum, AutoAdmit, that was a hotbed for racist, sexist and other offensive content. Fox accepted Neff’s resignation within hours of CNN’s inquiry and Suzanne Scott and Jay Wallace condemned his “horrific racist, misogynistic and homophobic behavior”, saying neither the show nor the network had known of the forum and there was zero tolerance for such behavior “at any time in any part of our workforce”.More mainstream advertisers abandoned Carlson and Lachlan personally approved the comments Tucker made about Neff’s resignation in his next show. Carlson refused management requests to pre-tape the comments and struck a defiant tone, suggesting he knew he had Lachlan’s full backing. Dissociating himself from Neff’s posts, Tucker added, “we should also point out to the ghouls beating their chests in triumph of the destruction of a young man that self-righteousness also has its cost … when we pose as blameless in order to hurt other people, we are committing the gravest sin of all, and we will be punished for it, there’s no question.” Tucker announced he was going on a week’s vacation, effective immediately, which he insisted was “long planned”. One staffer told the Daily Beast off the record that Fox News had “created a white supremacist cell inside the top cable network in America, the one that directly influences the president … this is rank racism excused by Murdoch.”It was all too much for James Murdoch, who had been negotiating an exit for some months, hoping to sever his connection to the family business. At the end of July, James sent a two-line letter of resignation to the board of News Corp, effective that day, with only the briefest explanation: “My resignation is due to disagreements over certain editorial content published by the Company’s news outlets and certain other strategic decisions.” In a bland joint statement, Rupert and Lachlan thanked James for his service and wished him well.James continued, of course, as beneficiary of a one-sixth share of the Murdoch Family Trust, which ultimately controlled both Fox and News Corp. In a sit-down interview with the New York Times a few months later, James told Maureen Dowd that he felt he could have little influence as a non-executive director, wanted a cleaner slate and “pulled the ripcord” because:.css-lf9l6c{height:1em;width:1.5em;margin-right:3px;vertical-align:baseline;fill:#866D50;}I reached the conclusion that you can venerate a contest of ideas, if you will, and we all do and that’s important. But it shouldn’t be in a way that hides agendas. A contest of ideas shouldn’t be used to legitimize disinformation. And I think it’s often taken advantage of. And I think at great news organizations, the mission really should be to introduce fact to disperse doubt – not to sow doubt, to obscure fact, if you will.It was a direct shot at Lachlan, whose mantra was to defend free speech, even that of commentators he did not agree with from time to time, and apparently regardless of whether the speaker was spreading disinformation.Dowd canvassed a scenario which was doubtless briefed by James and which could give Lachlan nightmares. Despite appearances, she wrote, the succession game may not truly be over: “Murdoch watchers across media say James is aligned with his sister Elisabeth and his half-sister, Prudence, even as he is estranged from his father and brother.”Alan Rusbridger: who broke the news?Read moreIt was true that there had been a thawing of the relationship between James and Elisabeth, which had come apart during the phone hacking crisis of 2011, when Murdoch titles were pitched into controversy in the UK. When James bought Tribeca Enterprises, which ran the famous New York Film Festival, Liz soon joined the board. The implied threat from the Dowd piece was clear: once their father was gone, when control of the empire passed to the four elder siblings, each with an equal vote on the Murdoch Family Trust, Lachlan could find himself getting rolled by James, Liz, and Prue, who were generally more liberal than Rupert.In a plausible scenario, after Rupert has died and his shares are dispersed among the four adult children, the three on the other side of Lachlan could choose to manifest control over all of the Murdoch businesses, and to do it in a way that enhances democracies around the world rather than undermines them. In this scenario, the role of Fox News has become so controversial inside the family that control of the trust is no longer just about profit and loss at the Murdoch properties. In one view that has currency among at least some of the Murdoch children, it is in the long-term interests for democracies around the world for there to be four shareholders in the family trust who are active owners in the business. Just such a scenario is freely canvassed by investors: a Wall Street analyst who has covered the Murdoch business for decades and is completely au fait with the breakdown in the relationship between the brothers, volunteers off the record that it would be “fair to assume Lachlan gets fired the day Rupert dies”.It is a formula for instability and intra-family feuds that must weigh on the minds of directors of both Fox and News Corporation as they contemplate the mortality of the 91-year-old founder, although they deny it. A source close to members of the Murdoch family questions the extent of succession planning by the boards of Fox or News Corporation and whether discussions among the directors can be genuinely independent, as corporate governance experts would like.“Rupert has total control over all the companies as long as he is alive,” the source says. “It’s an unrealistic expectation that the boards of those companies are going to use their voices to manifest independence. What is their succession plan? What if something happens to Lachlan? Do they put Viet in charge?”At the same time James announced his resignation from the News Corp board, he and Kathryn were ploughing millions into climate activism, the defeat of Trump, and other political causes. The couple had invested $100m worth of Disney shares into their foundation, Quadrivium, and through 2020 were heavy backers of mostly Democratic-leaning outfits, including $1.2m to the Biden Victory Fund and a handful of anti-Trump Republican organizations such as Defending Democracy Together, led by Bill Kristol. That was only some of the couple’s total political funding. A year later, CNBC obtained a Quadrivium tax return showing donations of $38m toward election organizations, including those dedicated to protecting voting rights.Lachlan’s personal political donations through the 2020 cycle were much smaller and were overwhelmingly directed towards the GOP, according to Federal Election Commission records. The politician he favored most was Senate majority leader Mitch McConnell, an establishment Republican who made a calculated decision to become Trump’s “enabler-in-chief ” and was married to Trump’s transportation secretary, Taiwanese-born Elaine Chao, a former director of News Corp. Lachlan contributed $31,000 in four donations in March, including to the Bluegrass Committee for Kentucky Republicans. Ten days after the November election, Lachlan made a much bigger personal donation, of $1m, to the Senate Leadership Fund, which had one goal: protecting the Republican Senate majority. Lachlan did make one small donation on the Democrats’ side in the 2020 cycle, after he attended a fundraiser for Democratic candidate Pete Buttigieg, the gay ex-mayor of South Bend, Indiana, pledging $1,500 to his campaign. Realizing the potential for embarrassment, he asked for it back and was duly refunded.Fox’s profitability fell by more than two-thirds in the June quarter, which would later prove to be the low point of the pandemic, as sports leagues went dark and general ad revenue collapsed. Fox News was the only bright spot, accounting for 90% of operating profit, despite advertiser boycotts of Tucker Carlson Tonight, as the 2020 presidential election campaign intensified.Three weeks out from polling day, on 14 October, the New York Post broke a story that might have influenced the outcome of the 2020 election. It had obtained a trove of messages, documents, photos and videos “purportedly” recovered from a laptop belonging to Hunter Biden, son of the Democratic presidential candidate, which had been taken to a Delaware computer shop for repair in 2019 and never picked up. The computer shop owner was a Trump supporter and handed the water-damaged laptop to the FBI, but also sent a copy of the hard drive to Rudy Giuliani, who had long sought to tarnish Joe Biden with conflict-of-interest allegations concerning his son’s involvement with the Ukrainian oil and gas company Burisma. The Post story zeroed in on a “smoking gun” email sent to Hunter in 2015 by Vadym Pozharskyi, an adviser to Burisma. The email read: “Dear Hunter, thank you for inviting me to DC and giving an opportunity to meet your father and spent [sic] some time together.”According to the Post, the email gave the lie to Joe Biden’s claim that he had “never spoken to my son about his overseas business dealings.” However, it was not clear whether Pozharskyi had in fact ever met with Biden, who as vice-president had handled the Ukraine portfolio for President Obama, and the Biden campaign explicitly denied it, after going back over his official schedule.However irresistible the story was to the Post and its warhorse editor Col Allan, the rest of the mainstream media was exceedingly wary. The Post would not provide a copy of the laptop or hard drive to allow other media to verify the contents. The timing was transparently intended to damage the Biden campaign and memories remained fresh of the FBI’s momentous decision to investigate Hillary Clinton in the final days of the 2016 election campaign, after emails stolen by Russian operatives were dumped online by WikiLeaks. Twitter and Facebook intervened dramatically to stop circulation of the Post story. Twitter even temporarily locked White House press secretary Kayleigh McEnany’s account, as well as that of the Post itself. More than 50 intelligence experts signed an open letter stating that the story “has all the classic earmarks of a Russian information operation”. The Times reported that at least two Post journalists had refused to put their byline on the laptop story, while the lead reporter, Emma-Jo Morris, had not had a previous byline with the paper. Furthermore, News Corp stablemate the Wall Street Journal had been offered much the same story before the Post but concluded the central claims could not be proved. The whole story failed to gain much traction beyond the Post, Fox News, and avowedly rightwing media like Breitbart.Trump seized classified documents – but for Republicans the story is Hunter Biden’s laptop | Lawrence DouglasRead morePost-election, Hunter Biden would reveal that he was under federal investigation for tax offenses and over the following year and a half, the industrial scale of his influence-peddling became clearer, including possible breaches of the Foreign Agents Registration Act, the same legislation that Trump’s 2016 campaign manager, Paul Manafort, had pled guilty to violating. In mid-2021, the Post revealed that Joe Biden had indeed met Pozharskyi in 2015, and in early 2022, both the New York Times and the Washington Post reported that independent experts had examined the files which purported to be from Hunter Biden’s laptop and they appeared genuine. That did not prove Hunter Biden was guilty of anything, of course, only that the laptop was his. But for his part, Lachlan believed that an important news story about the Bidens had been deliberately suppressed by the tech companies and a liberal-leaning media, saying much later:.css-lf9l6c{height:1em;width:1.5em;margin-right:3px;vertical-align:baseline;fill:#866D50;}… had the laptop belonged to another candidate’s son, it would certainly have been the only story you would have heard in the final weeks of the election. But lies were concocted: ‘the laptop was hacked, or stolen;’ it was not. Or ‘it was Russian disinformation;’ it was not, and the story was completely suppressed. It was censored by EVERYONE.The scene was set for one of the most contentious presidential elections in American history.
    The Successor: The High-Stakes Life of Lachlan Murdoch will be published in the US by Sutherland House on 15 November
    TopicsBooksFox NewsLachlan MurdochRupert MurdochJames MurdochFoxNews CorporationfeaturesReuse this content More

  • in

    ‘Lachlan gets fired the day Rupert dies’: Murdoch biography stokes succession rumors

    ‘Lachlan gets fired the day Rupert dies’: Murdoch biography stokes succession rumorsNew book by Australian reporter Paddy Manning hints at Succession-style feud with ramifications for US rightwing politics It’s long been thought that the succession plan for Lachlan Murdoch to take control of Fox Corporation and News Corp was set in stone for when his 91-year-old father, Rupert Murdoch dies.But a new book is stoking speculation that Murdoch’s oldest son might be ousted in a Succession-style feud with his family, in a move with potentially huge ramifications for Fox News, the TV network that dominates US rightwing politics, according to a new biography of the Anglo-Australian media heir.The author, Paddy Manning, writes: “A Wall Street analyst who has covered the Murdoch business for decades and is completely au fait with the breakdown in the relationship between the brothers [Lachlan and James Murdoch], volunteers off the record that it would be ‘fair to assume Lachlan gets fired the day Rupert dies’.”The Successor: The High-Stakes Life of Lachlan Murdoch will be published in the US on 15 November and is out in Australia now.Manning is an Australian journalist who has written for outlets including the Guardian. His previous books include biographies of Malcolm Turnbull, the former Australian prime minister, and Nathan Tinkler, a mining entrepreneur.The title of Manning’s biography of Lachlan Murdoch echoes that of the TV hit Succession, the HBO story of an ageing media tycoon, played by Brian Cox, and his family’s struggles to succeed him.Lachlan Murdoch, 51 and Rupert Murdoch’s oldest son, has led the family media businesses with his father since 2014.James Murdoch, 49, resigned from the board of News Corp in July 2020. He said then: “My resignation is due to disagreements over certain editorial content published by the company’s news outlets and certain other strategic decisions.”The younger Murdoch has since emerged as a backer of progressive and environmental concerns, in Manning’s words, “ploughing millions into the defeat of [Donald] Trump, climate activism, and other political causes”.But Lachlan Murdoch has remained in a position of near-unrivaled power in rightwing media and politics, overseeing US properties including the New York Post, the Wall Street Journal and Fox News, the TV network with a near-symbiotic relationship with Trump and the Republican party.Though Manning reports a potentially surprising $1,500 donation Lachlan Murdoch made in 2020 to Pete Buttigieg, then a Democratic presidential hopeful, now the Biden administration’s transportation secretary, he also reports that “realising the potential for embarrassment, [Murdoch] asked for it back and was duly refunded”.The Successor covers the older Murdoch son’s life from childhood through youthful business ventures including investment in Australian rugby league, to his departure from his father’s businesses in 2005 and return nearly a decade later.Lachlan Murdoch has become a champion of the rightward march of Fox News, which inspired his brother’s resignation from the News Corp board. As described by Manning, the older Murdoch son has for example remained supportive of Tucker Carlson, the primetime host and provocateur who regularly espouses far-right views.But all four grownup Murdoch children – Lachlan and James, their sister Elisabeth Murdoch and their half-sister Prudence MacLeod – will be key players in the eventual succession.“In a plausible scenario,” Manning writes, “after Rupert has passed and his shares are dispersed among the four adult children, the three on the other side of Lachlan could choose to manifest control over all of the Murdoch businesses, and to do it in a way that enhances democracies around the world rather than undermining them.“In this scenario, the role of Fox News has become so controversial inside the family that control of the trust is no longer just about profit and loss at the Murdoch properties. In one view that has currency among at least some of the Murdoch children, it is in the long-term interests for democracies around the world for there to be four shareholders in the family trust who are active owners in the business.”Murdoch’s succession: who wins from move to reunite Fox and News Corp?Read moreLast month, Rupert Murdoch was reported to be seeking to merge News Corp, which owns newspapers outside the US including the Times, the Sun and the Australian, with Fox, which includes Fox News and Fox Sports, which shows prized NFL games.A former Murdoch senior executive told the Guardian then the plan had been “in the works for two years. I give it a 75% chance it will happen, 25% that it will be blocked. It’s all about Lachlan. Rupert is in his 90s – this is his last deal, it’s succession planning.”Discussing the belief that “Lachlan gets fired the day Rupert dies”, Manning writes that it is “a formula for instability and intra-family feuds that must weigh on the minds of directors of both Fox and News Corporation as they contemplate the mortality of the 91-year-old founder, although they deny it.“A source close to members of the Murdoch family questions the extent of succession planning by the boards of Fox or News Corporation and whether discussions among the directors can be genuinely independent, as corporate governance experts would like.“‘Rupert has total control over all the companies as long as he is alive,’ the source says. ‘It’s an unrealistic expectation that the boards of those companies are going to use their voices to manifest independence. What is their succession plan? What if something happens to Lachlan?’”TopicsBooksRupert MurdochLachlan MurdochJames MurdochFox NewsNews CorporationUS press and publishingnewsReuse this content More