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‘Cold decisions’: will heir to Murdoch’s empire keep newspapers at its heart? | Lachlan Murdoch

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“Don’t let the boys sell the papers after I die,” a former senior executive in the Murdoch empire recalls Rupert saying in more than one meeting over the years.

Murdoch, who was practically born with ink in his veins, built a media empire spanning Fox News and the Wall Street Journal in the US, and the Sun and Times newspapers in the UK.

Following his $3.3bn (about £2.4bn) deal to end the long-running family feud over the future control of his business, that decision on whether to sell the papers will be down to his eldest son, Lachlan.

The 54-year-old has been heir-apparent since his younger brother, James, resigned from the board of News Corp five years ago citing “disagreements” about editorial content, and has chaired the media group and Fox Corp since 2023.

After an embarrassing failed legal attempt to strip voting power from his siblings, James, Elisabeth and Prue – who combined could have wrested control of the Murdoch empire after Rupert’s death – Lachlan will now have sole control over a new family trust, with about a third of the votes in the two listed media companies.

The structure ensures that the conservative political slant of most of the group, and in particular the rightwing commercial juggernaut Fox News, which continues to thrive in the Trump era, will be preserved. But it poses some big questions about key corners of the empire assembled by his father over seven decades.

‘Teflon Rebekah’

Lachlan is said by some to not be as enamoured as his father with Robert Thomson, the 64-year-old boss of News Corp, whose friendship and business career with Rupert go back decades . But he is described by one source as “super-close” to the News UK chief, Rebekah Brooks.

It has emerged that Brooks was in attendance at the Harvard Club in New York alongside personal representatives of the two warring sides of the Murdoch family when meetings began this year about the buyout and trust change.

“Rebekah was in the room when negotiations were taking place. That tells you all you need to know about the closeness of Rebekah to Rupert and Lachlan,” says another former senior executive. “She remains untouchable: Teflon Rebekah.”

However, this relationship could be tested when the spotlight returns later this month to the phone-hacking scandal. ITV, which last year made a national issue of the machinations of executives over the Horizon IT scandal in the drama Mr Bates vs The Post Office, is launching a series on the scandal called The Hack, based in part on a book by the former Guardian journalist Nick Davies.

News UK has already sent a legal note to publishers on behalf of the parent company of the Sun about allegations made in the book.

For Lachlan, presiding over listed businesses with a $42bn combined market valuation, commercial decisions that would be unconscionable to the family patriarch who is a newspaper man through-and-through are likely to come into sharper relief.

Steve Pemberton as Rupert Murdoch and Jordan Renzo as James in the forthcoming ITV drama. Photograph: ITV studios

“It is no secret he likes newspapers more than James did, but today is completely different than when he grew up and they were all making a lot of money and fuelling the business,” says the first former executive. “The crossroads for the business, certainly as far as newspapers are concerned, will be when Rupert passes, because of Lachlan’s loyalty and respect.

“I think he will make some purely quite cold business decisions. He has probably had conversations about it and Rupert would have said, ‘You make the call,’ and would have respected that, as he has had to make plenty of tough decisions.”

Under Thomson, who recently had his contract extended until 2030, News Corp continues to perform strongly, with a $17bn market value that has almost doubled over the past five years. The business delivered a 4% increase in revenues, to $8.4bn, and a 14% increase in profits to $1.4bn in its most recent results for the year to 30 June.

However, 85% of profits are derived from Dow Jones, home to the Wall Street Journal, Barron’s and MarketWatch, and its digital real estate business.

Dow Jones, which has been estimated by analysts to be worth more than $10bn if it were hived off, continues to thrive amid the impact of the onset of traffic-diverting products such as Google’s AI Overviews and AI Mode.

Digital-only subscriptions to Dow Jones products rose by 7% to 6.3m in the year to June; within this the Wall Street Journal grew 9% to 4.1m.

What next for the Sun?

In the UK, the Times and Sunday Times grew digital subscriptions by 46,000 to 640,000 in the year to June, and made a £61m profit in 2024, according to the most recent filing at Companies House. However, these profits exclude significant costs that are borne by other entities in the Murdoch empire, including News Corp UK & Ireland.

Overall, News Corp’s news media segment, which includes News UK, its Australian subsidiary and the New York Post, reported profits of $153m, 11% of the group total. But a $39m fall in ad revenues was attributed to falling print income in Australia and digital traffic at the Sun due to “algorithmic changes at certain platforms”.

What to do about the Sun is one of the biggest issues facing Lachlan. According to News Corp, the Sun, which this year launched a £2-a-month paywall for certain content, had a 22% year-on-year decline to 87m global monthly unique users in June.

The parent company of the Sun reported that it made a pre-tax loss of £18m in the year to June 2024, the smallest loss since 2011, but bringing cumulative losses at the red top’s owner to more than £1.2bn since the start of its costly phone-hacking battle almost 15 years ago.

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The Sun’s headline after the 1992 general election. Photograph: The Sun

For the paper that once boasted “It’s the Sun wot won it” after successfully endorsing the Conservatives in the 1992 UK general election, the idea of ever returning to the halcyon days of hundreds of millions of pounds in annual profits is unthinkable in the digital era.

“Rupert is obsessed with the Sun and New York Post, which has been bleeding money for years, and in Australia the power is gone,” says the second senior executive. “The Murdoch papers don’t have the voice, influence or commercial income they once had.

“Thirty-five years ago it was the Sun financially powering the takeover of Sky. But for an investor now, or if McKinsey came in, no one would say looking at the current landscape that they should still hang on to these assets. Concentrate on core profit-making operations.”

With investors no longer concerned about the ramifications of a potential succession standstill – and the ongoing certainty of the $3.62bn in profits that Fox News’s owner, Fox Corp, made in its last financial year – one move analysts seem to agree will not happen is a renewed effort to merge News Corp and Fox.

Two years ago, Murdoch scrapped a proposal to reunify his media businesses, which he was forced to split after the phone-hacking scandal, following opposition from investors and from his son James.

“The proposed merger would have been voted against by a huge number of external shareholders,” says Claire Enders of Enders Analysis. “I don’t think the issues put forward then are going to go away. With lawsuits against Fox and the Wall Street Journal I don’t think a merger will be at the top of the list.”

Lachlan ‘wants size and scale’

As for his susceptibility to political pressure, Lachlan is hard to read. Some believe he is even further to the right than his father, pointing to material released during Fox’s legal battle with Dominion Voting Systems, in which he appeared to back a more pro-Trump approach in the aftermath of Joe Biden’s 2020 election.

Fox is still facing a legal action from the voting system Smartmatic.

“He doesn’t aspire to be that king maker, politically, that Rupert has been throughout his career,” says Paddy Manning, a journalist and author of The Successor: the high-stakes life of Lachlan Murdoch.

While Trump and the Maga movement remain key to the fortunes of Fox News, Lachlan has backed the Wall Street Journal, and its editor-in-chief, Emma Tucker, over a lawsuit following the publication of allegations that the president composed a crude poem and doodle as part of a collection compiled for Jeffrey Epstein’s 50th birthday.

Lachlan and his father are likely to take a hard look at its business operations following the payout to secure his eldest son’s control.

The deal required a new $1bn loan to be taken out and at about 34% the new trust will have a bit less control over the businesses than with the 40% voting power the family previous held.

In November, the activist investor Starboard Value lost a shareholder vote aimed at scrapping the dual-class share structure at News Corp, which would have weakened the family’s control.

Starboard has also pushed for News Corp to spin off REA, the highly successful digital real estate business controlled by News Corp in Australia.

Considered to be Lachlan’s shrewdest and most profitable contribution to the building the family empire – in 2001 he persuaded News Corporation to invest A$2m in REA for a 44% stake increasing to 62% in 2005 – the business accounted for 43% of News Corp’s profits in its latest financial year.

Last September, REA Group abandoned its attempt to take over the UK property portal Rightmove after its fourth offer of £6.2bn was rejected.

“Lachlan is ambitious,” says a third source who has worked with him. “I bet he swings big. He never wanted to sell [21st Century] Fox to Disney, or see Sky go to Comcast, he wants size and scale. How big he goes and how he finances it are the big questions.”



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Former xAI CFO Named OpenAI’s New Business Finance Officer

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OpenAI has hired Mike Liberatore, the former chief financial officer at Elon Musk’s AI company xAI, CNBC reported on September 16. 

Liberatore’s LinkedIn profile lists his current role as the business finance officer at OpenAI. His tenure at xAI lasted merely four months, and previously, he worked as the vice president of finance and corporate development at Airbnb. 

The report added that Liberatore will report to OpenAI’s current CFO, Sarah Friar, and will work with co-founder Greg Brockman’s team, which manages the contracts and capital behind the company’s compute strategy. 

According to The Wall Street Journal’s report, Liberatore was involved with xAI’s funding efforts, including a $5 billion debt sale in June. He also oversaw xAI’s data centre expansion in Memphis, Tennessee, in the United States. The reasons for his departure remain unknown. 

Liberatore is an addition to the list of recent high-profile departures from xAI. Last month, Robert Keele, who was the general counsel at the company, announced his departure, stating that there were differences between his worldviews and Musk’s. 

The WSJ report also added that Raghu Rao, a senior lawyer overseeing the commercial and legal affairs for the company, left around the same time. 

Furthermore, Igor Babuschkin, the co-founder of the company, also announced last month that he was leaving xAI to start his own venture capital firm. 

That being said, Liberatore’s appointment at OpenAI comes at a time when the company has announced significant structural changes. 

OpenAI recently announced that its nonprofit division will now be ‘paired’ with a stake in its public benefit corporation (PBC), valued at over $100 billion. The company also announced it has signed a memorandum of understanding with Microsoft to transform its for-profit arm into a PBC. This structural change was initially announced by OpenAI in May. 



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Google Advisor Explains Why ESG-Led AI Is Essential For Business Resilience In The Future Of Work

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This article is based on the
Future of Work Podcast episode “Why AI and ESG Must Evolve Together to Protect the Future of Work” with Kate O’Neill. Click here to listen to the entire episode.

In the rush to innovate, are today’s leaders forgetting why they started? 

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Businesses chasing AI without aligning to human-centered metrics risk building beautiful systems that fail spectacularly.

In a recent episode of The Future of Work® Podcast, Kate O’Neill, CEO of KO Insights and a seasoned digital transformation strategist, delivered a critical message to today’s business leaders: you must stop chasing metrics in isolation and start thinking in terms of ecosystems. 

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As AI becomes an increasingly central part of how organizations operate, leaders face a choice: retrofit outdated success models to new technologies, or reimagine the system altogether through the lens of purpose, resilience, and human flourishing.

With a career advising clients as varied as Google, McDonald’s, and the United Nations, O’Neill isn’t a futurist just making vague predictions. She’s a strategist with a clear framework and a call to action to solve AI integration problems: align artificial intelligence initiatives with Environmental, Social, and Governance (ESG) principles — not in name only, but in measurable, mission-driven ways that track real-world outcomes.

“I think ESG as a concept is valid. It’s not the principles that are wrong. It’s that we’ve been measuring the wrong things,” she said during the podcast conversation. 

This insight forms the cornerstone of O’Neill’s approach. In a world captivated by AI’s predictive capabilities and automation potential, organizations often overlook the encompassing impact of their decisions. 

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Are these technologies improving lives? Are they regenerating ecosystems — social or environmental — rather than extracting from them? Too often, she explains, companies confuse compliance with progress, chasing ESG as a branding exercise instead of a structural transformation.

This critique is not about abandoning ESG or digital transformation. Quite the opposite. It’s about evolving both.

From Checklists to Systems Thinking

The past decade has seen ESG reporting become a staple of corporate responsibility efforts. But O’Neill points out a flaw: ESG frameworks often push businesses to focus on standardized inputs and outputs rather than actual impact

These rubrics, while helpful for consistency, can fail to reflect the lived experience of people and communities affected by a company’s operations.

Instead, she argues for aligning with the United Nations Sustainable Development Goals (SDGs), a framework of 17 interrelated goals with actionable metrics designed to improve life for all — not just shareholders.

To her, that’s a better approach, as most businesses are doing something that could be furthering the SDGs, but they just don’t necessarily realize it.

From water access and infrastructure to gender equality and education, the SDGs provide a nuanced, flexible way for companies to identify where their operations already intersect with meaningful societal progress. 

More importantly, they allow companies to evolve those operations in a direction that’s measurable, values-aligned, and resilient.

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Making ESG Real in the Age of AI

AI technologies are tools that mirror the systems they’re built within. When integrated blindly, AI can amplify inequities and environmental damage. But when aligned with well-defined social goals, it can act as a force multiplier for good.

Consider how companies often rush to replace human labor with AI in the name of efficiency. O’Neill challenges this logic, not just from a social justice perspective but from a business strategy standpoint. In many cases, this kind of substitution overlooks deeper ESG implications — regional job displacement, lost organizational knowledge, reduced resilience in the face of uncertainty.

“Additive” use of AI, she argues, is far more effective than “replacing” strategies. Enhancing human capability, rather than removing it, yields more sustainable organizations.

This philosophy stems from a fundamental distinction O’Neill highlights: the difference between sense-making and prediction.

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Humans interpret, synthesize, and apply judgment. Machines, even the most advanced AI, rely on data and probability. One of her favorite analogies comes from healthcare: a doctor can hear the emotional nuance in a teenager’s “I’m fine” — something no large language model can reliably decode today. 

In complex systems — like health, education, or public infrastructure — nuance matters.

A Fast-Changing Landscape Needs Slow, Strategic Thinking

Much of the anxiety among today’s executives comes from the pace of change. Technology is moving faster than ever, and leaders are under pressure to act quickly or risk irrelevance. But as O’Neill notes, movement alone isn’t enough. Strategic motion — guided by values and grounded in measurable, ecosystem-wide outcomes — is what will separate resilient organizations from fragile ones.

The goal is progress, not perfection, and that progress requires recognizing the trade-offs embedded in every transformation decision.

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We are already seeing early-stage consequences: water-intensive AI data centers straining local ecosystems; workers displaced without meaningful re-skilling pathways; energy use surging in areas already vulnerable to climate stress. 

What Companies Can Do Now

The path forward, according to O’Neill, is rooted in clarity, alignment, and iteration. Businesses don’t need to pivot overnight or rebuild their operations from scratch. They need to take stock of what they already do well, identify the SDG most aligned with their mission, and begin tracking meaningful, relevant metrics that reflect their contribution to a better future.

This can be as simple as adding one SDG-aligned KPI to a leadership dashboard or as complex as redesigning hiring practices to retain knowledge and community ties. What matters most is the intentionality behind the action.

For leaders struggling with how to begin, O’Neill offers practical guidance: don’t wait for perfect information. Move. Learn. Adapt. Align technology strategy with purpose — not in a silo, but as part of a larger ecosystem of human and planetary thriving. Because in the future of work, success will be defined by how wisely we integrated AI into the human systems that sustain us.

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Fliggy’s Business Travel Arm Launches AI-Powered Solution

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Intelligent automation and analysis enhance compliance, cost savings, and employee experience

Hangzhou, China (ANTARA/PRNewswire)- AliBtrip, a designated platform specializing in business travel management under Fliggy of Alibaba Group (NYSE: BABA and HKEX: 9988), has introduced an integrated AI business travel solution. The innovative solution features two key modules: an employee travel agent for personalized planning, and a corporate management agent to streamline financial administration and compliance through data-driven decision-making support.

AliBtrip distinguishes itself from other Travel Management Companies (TMCs) with its unique AI applications and digital transformation management, leveraging Alibaba’s extensive ecosystem. Recent data indicates that AliBtrip serves over 20,000 industry-leading clients and more than one million growth companies, with over 20 million corporate employees booking business trips through the platform.

“The foundation of business travel services lies in trust between employees and companies,” said Zhuoran Zhuang, Vice President of Alibaba Group and CEO of Fliggy. “AliBtrip’s solution aims to transform AI capabilities into tangible benefits, reducing both visible and hidden costs while enhancing value for our clients.”

Addressing the challenges of corporate travel

Unlike consumer-focused solutions, the AI implementation for business travel emphasizes efficiency and compliance at every stage. AliBtrip’s AI solution, powered by multiple intelligent agents, tackles the complexities of corporate travel through a sophisticated division of labor among agents. It integrates long and short-term memory management and real-time deployment of the Model Context Protocol (MCP).

Powered by AliBtrip and Fliggy’s extensive data from the hotel and travel sectors, this AI solution draws from a real-time price database for flights, accommodations, transportation, and dining, ensuring practical and effective travel planning.

Optimizing management with intelligent analysis

For businesses, AliBtrip’s AI acts as an expert in administrative and financial management, offering real-time strategic analytics and action support. This capability significantly reduces the transactional workload related to analysis, communication, and compliance.

In addition to its pricing database, AliBtrip’s AI solution can customize exclusive datasets that reflect each corporate client’s travel standards and employee preferences, aligning with the company’s policies and values.

Features such as a strategy center and natural language interaction streamline corporate management, with intelligent cost control options presented in clear, quantitative indicators and intuitive examples for decision-makers, allowing them to make adjustments with a single click. The AI can also analyze historical travel data to identify potential issues proactively.

Enhancing employee satisfaction through streamlined booking

For employees, AliBtrip’s AI simplifies the booking process, alleviating the burden of comparing travel policies and booking transportation, accommodation, and car services separately. The employee travel agent generates comprehensive itineraries based on three key inputs: purpose, time, and destination, linking seamlessly to the travel request in the system. After verifying departure and arrival locations, it autonomously creates the itineraries that include tickets, hotels, and transportation, all while considering factors such as weather and check-in times.

Real-time travel assistance enhances the overall experience, with automatic reminders and recommendations integrated into the travel itineraries that comply with corporate standards. This significantly reduces risks associated with budget overruns or non-compliance.

The AI solution also uncovers cost-saving opportunities often-overlooked; for example, suggesting business class tickets with early departures that could avoid overnight stays or prioritizing hotels that align with employee preferences within budget constraints.

“Employees should be served, not restricted,” said Shenyang Shi, General Manager of AliBtrip, highlighting the philosophical shift underlying the innovative solution. “By leveraging advanced travel planning algorithms and combining intent recognition capabilities with comprehensive datasets and route optimization, the platform demonstrates how AI can reconcile cost management with employee satisfaction, creating value for both businesses and their traveling workforce.”

About Fliggy

Fliggy is a wholly-owned subsidiary of Alibaba Group (NYSE: BABA and HKEX: 9988 (HKD Counter) and 89988 (RMB Counter), and is one of the leading online travel platforms in China. Fliggy places a strong emphasis on innovation in its products and services, catering to the increasingly personalized and diversified needs of consumers in both China and overseas markets.

Leveraging Fliggy’s advantage as part of the Alibaba ecosystem, merchants can benefit from the vast user base within the Group. Fliggy also collaborates with partners through a full-service management format, helping more merchants, especially small and medium-sized ones, easily and efficiently share opportunities enabled by digitalization.

Fliggy’s long-term strategy is to promote the digital transformation of the tourism industry, using an open platform and mechanisms to help the industry make better use of digital business infrastructure for their operations.

Source: Fliggy

Reporter: PR Wire
Editor: PR Wire
Copyright © ANTARA 2025



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