Murdochs reach deal in succession battle over media empire

The Murdoch family has reached a landmark agreement to conclude the protracted succession battle over Rupert Murdoch’s vast media empire. Announced on Monday, the deal designates Lachlan Murdoch as the sole controller upon his father’s passing, while his siblings Prudence MacLeod, Elisabeth Murdoch, and James Murdoch will receive substantial financial settlements to relinquish their stakes. This resolution ends years of litigation and familial discord that had captivated public attention, drawing parallels to the television drama ‘Succession.’ Under the terms of the agreement, Lachlan will oversee a new trust that holds controlling interests in both Fox Corporation and News Corp, ensuring his leadership over outlets like Fox News, The Wall Street Journal, and The Times. The three older siblings will sell approximately 14.2 million shares of News Corp and 16.9 million shares of Fox Corp, with the proceeds—estimated at $1.1 billion each—placed in a separate trust for their benefit. This buyout effectively removes them from any influence over the company’s editorial direction. The succession dispute erupted into public view when Rupert Murdoch attempted to alter the irrevocable family trust to centralize power with Lachlan, a move challenged by his other children. Last December, a Nevada court ruled against Rupert and Lachlan, accusing them of acting in ‘bad faith’ and engaging in a ‘charade’ to secure control. The court’s harsh criticism prompted the family to negotiate a settlement, avoiding further legal appeals. Family dynamics have been strained by ideological differences, with James Murdoch openly criticizing the conservative slant of Fox News and its coverage of issues such as climate change and the 2020 U.S. election. Elisabeth and Prudence have also expressed reservations, but the financial incentive of the buyout has led them to accept the deal. Rupert Murdoch has consistently advocated for Lachlan’s leadership, viewing him as the best custodian for the empire’s conservative voice. The new trust also includes Rupert’s younger children, Chloe and Grace Murdoch, from his marriage to Wendi Deng, though they are not expected to play active roles in management. News Corp issued a statement affirming confidence in Lachlan’s vision and management, highlighting his importance to the company’s future strategy and success. This settlement solidifies the conservative orientation of the Murdoch media outlets, which have significant influence on global politics and public opinion. Analysts suggest that Lachlan’s control may lead to continued support for right-leaning policies and figures, particularly in the U.S. where Fox News is a major player. With the legal battles concluded, the Murdoch empire can focus on future challenges, including digital transformation and competition in the media industry. The deal represents not only a personal resolution for the family but also a strategic move to ensure stability and continuity in one of the world’s most powerful media conglomerates.