June 28th, 2012
07:19 PM GMT
Share this on:

Editor's note: David Buik has spent almost 50 years in the City of London, as an investment banker and broker. He is a partner at BGC Partners and a frequent media commentator on financial matters.

CNN – He may be an octogenarian but anyone who underestimates Rupert Murdoch’s business cunning and prowess does so at his or her peril.

He is probably at his most dangerous when his back is against the wall.

I enjoyed his interrogation at the Leveson inquiry and he was in imperious form when being interviewed Wednesday in the U.S. on his plans and aspirations for his media and publishing enterprises. As the old expression goes: “There’s life in the old dog yet!”

"Uncle Ru" has been deeply and irrevocably in love with newspapers since he left his mother’s womb and under the watchful eye of his father, Sir Keith, he cut his teeth on all journalistic branding irons.

Over the years he has built up a newspaper empire in mainly in Australia, the U.S. and the UK - with terrific brands such as The Australian, The Wall Street Journal, Dow Jones, The Times, Sunday Times and The Sun to name just the better known of them.

Murdoch has always been driven by his ability to bring political influence to bear in all the countries that he owns papers.

They have never been a hugely profitable investment, but the pleasure and enjoyment that he has gleaned from this enterprise knows no bounds. In the UK the influence he had with Baroness Thatcher and Tony Blair was very significant and there is no doubt that The Sun was the most influential newspaper in News Corporation’s portfolio.

Then of course came the sad phone-hacking saga. This has been a severe wake up call for Murdoch. He underestimated the damage this hacking has had on his empire and it provided a magnificent springboard for peer operations in the UK media - particularly the BBC, The Guardian, and The Independent to vent their spleen in a most visceral manner.

The decision to split the News Corporation empire into two is understandable and has been endorsed by the main shareholders.

The entertainment arm, with 20th Century, Fox TV, Star TV and a 39% stake in BSkyB, contributes 90% of the profit. This must be protected from the U.S. authorities' clutches.

Newspapers chip in with the balance. It is likely that the CEO of the publishing division will not be a Murdoch. James Murdoch will run entertainment and many would be very surprised if his father did not maintain a 40% stake in both companies. Investors seem to approve of this initiative.

Posted by: ,
Filed under: Business


soundoff (4 Responses)
  1. Mike

    I thought they meant RuPaul!

    June 29, 2012 at 7:49 am |
  2. CarlPeters

    There is a new willingness to openly discuss massive immigration and "assimilation" imposed on ALL white countries and ONLY on white countries.

    Anti-racist is a code word for anti-white.

    June 29, 2012 at 5:08 pm |
  3. medhat

    Fun to learn English for free
    http://www.elearning-directory.com/arabic-see2

    July 8, 2012 at 9:30 pm |
  4. icon designs

    Yes, I understand you.

    October 7, 2012 at 6:27 pm |

Post a comment


 

CNN welcomes a lively and courteous discussion as long as you follow the Rules of Conduct set forth in our Terms of Service. Comments are not pre-screened before they post. You agree that anything you post may be used, along with your name and profile picture, in accordance with our Privacy Policy and the license you have granted pursuant to our Terms of Service.

About Business 360

CNN International's business anchors and correspondents get to grips with the issues affecting world business, and they want your questions and feedback.

 
 
Powered by WordPress.com VIP