News Corp Australia: Government Influence And Ownership

is australia news corp government owned

News Corp Australia is a subsidiary of the American News Corp, a multinational media and information services conglomerate founded by Rupert Murdoch. Murdoch inherited The News from his father in 1952 and gradually established himself as a prominent media proprietor in Australia, acquiring numerous newspapers and media companies. News Corp Australia's influence in the country is significant, owning seven of the country's 12 national or capital city daily newspapers, as well as having interests in television, radio, magazines, and online media. While News Corp Australia is not government-owned, its reach and impact on Australian politics and society have been a subject of debate and scrutiny. Meanwhile, government-owned media organisations in Australia, such as the Australian Broadcasting Corporation (ABC) and Special Broadcasting Corporation (SBS), are protected by legislation that ensures their editorial independence.

Characteristics Values
Type of company Multinational media and information services conglomerate
Ownership Wholly owned subsidiary of the American News Corp
Founder Rupert Murdoch
Headquarters New York City
Areas of interest Newspaper and magazine publishing, Internet, market research, DVD and film distribution, and film and television production trading assets
Government-owned? No
Government-controlled? No

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News Corp Australia's ownership

News Corp Australia is a wholly-owned subsidiary of the American News Corp, a multinational media and information services conglomerate founded and headed by Rupert Murdoch. News Corp Australia is an Australian media conglomerate with interests in newspaper and magazine publishing, internet, market research, DVD and film distribution, and film and television production trading assets.

News Corp Australia's origins lie in News Limited, created in 1923 by James Edward Davidson to purchase two small newspapers in New South Wales and South Australia. Keith Murdoch, who had become chief editor of the Melbourne Herald in 1921, began buying other Australian newspapers, eventually becoming a major shareholder in News Limited. Over the years, News Limited expanded its newspaper holdings by acquiring several newspapers and stakes in newspaper publishers across Australia. In 1979, Murdoch gained control of television stations in Sydney and Melbourne, and the following year, he established News Corporation as a holding company.

News Corp Australia has a significant presence in the Australian media landscape, particularly in the market for physical newspapers. As of 2021, it owns seven of the country's 12 national or capital city daily newspapers, excluding weekend papers. In four capital cities (Adelaide, Brisbane, Darwin, and Hobart), News Corp's papers face no local print competition. The company's influence extends beyond print media, with interests in radio, pay television, and online news.

While News Corp Australia is not government-owned, it has been noted for its political influence in the country. Murdoch has used News Corp's publications to support his political interests, and the company's newspapers have been associated with conservative policies and politicians. News Corp's reach and influence in Australian media have sparked discussions about media diversity and ownership, with some arguing for the need to maximise media diversity to ensure a range of perspectives and community representation.

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Influence on Australian politics

News Corp Australia is a wholly-owned subsidiary of the American News Corp, a multinational media and information services conglomerate founded and headed by Rupert Murdoch. Murdoch inherited The News from his father in 1952, and gradually established himself as one of the most influential media proprietors in Australia. Over the years, he expanded his holdings by acquiring numerous newspapers, television stations, and publishing companies, both in Australia and internationally.

News Corp's influence on Australian politics has been significant, with its publications often used to support Murdoch's political interests. The company's newspapers have gained a reputation for backing conservative policies and politicians, and have been criticised for a lack of editorial independence. In 2011, the Finkelstein Review of Media and Media Regulation found that News Corp accounted for 23% of newspaper titles in Australia. As of 2021, the company owns seven of the country's 12 national or capital city daily newspapers (58%), excluding weekend papers. Notably, in the capital cities of Adelaide, Brisbane, Darwin, and Hobart, there are no competing print dailies.

News Corp's dominance in Queensland has been particularly notable, with some arguing that it has influenced federal election outcomes in favour of the Coalition. However, the impact of print media on politics has declined with the rise of television, online news, and social media.

Murdoch has also actively lobbied for changes to Australia's cross-media ownership laws, which previously prevented him from owning major newspapers and television stations in the same city. In 2006, the Liberal-National Coalition government amended these laws, allowing News Corp to expand its influence across multiple media platforms.

Beyond News Corp, the Australian government also owns media organisations such as the Australian Broadcasting Corporation (ABC) and Special Broadcasting Corporation (SBS). However, these organisations are protected by legislation that ensures their editorial independence, despite government ownership.

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Circulation and market share

News Corp Australia is a wholly-owned subsidiary of the American News Corp. It is one of the two corporations that dominate ownership of national and capital city newspapers in Australia, the other being Nine Entertainment.

News Corp Australia's share of circulation among national and capital city dailies was 65% in 2016, and likely similar for regional papers. This figure is even higher than the 57% market share by circulation that News Corp controlled in 2016. In 2020, News Corp's share of the market was 52%.

News Corp's dominance is partly due to its acquisition of The Herald and Weekly Times in 1987, which published two newspapers in Melbourne. It also acquired the remaining shares of Brisbane's Queensland Newspapers, Adelaide's Advertiser Newspapers, and Hobart's Davies Brothers.

News Corp's radio investments are comparatively small, with a roughly 15% stake in HT&E, whose subsidiary operates several radio networks. News Corp's sole television news outlet, Sky News Australia, attracts a significantly smaller audience than ABC News. However, Sky has an outsized audience on social media, with its Facebook posts being shared more often than any of the 65 accounts analysed by Fact Check in 2020.

News Corp's influence is not limited to traditional media. In 2021, it had roughly 100 physical and digital newspaper mastheads in Australia, along with the news website news.com.au. Its influence is further amplified by YouTube's decision to boost content from mainstream news channels, allowing Murdoch outlets to have an outsized influence on controversial topics.

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Changes to media ownership laws

Australia's media ownership laws have been criticised for being outdated and crafted in the late 1980s analogue era before digital and pay television. In 2017, the Australian government passed a Bill to repeal the media control and ownership rules that existed in the Broadcasting Services Act (1992) (BSA).

The Bill repealed the '75% rule' or the 'reach rule', which stated that a person, in his or her own right, or as a director of one or more companies, must not be in a position to exercise control over commercial television broadcasting license areas that have more than 75% of the Australian population. The '2 out of 3 rule' was also repealed, which stated that a person must not control more than two of the three regulated forms of media (i.e. commercial radio, commercial television and newspapers) in the one commercial radio licence area.

The changes to the BSA are likely to result in a further rise in the concentration of media ownership. This is because, in addition to the repeal of the '2 out of 3 rule', the Australian Competition and Consumer Commission (ACCC) has allowed acquisitions that increase the concentration of media ownership. For example, the ACCC did not oppose Birketu Pty Ltd and Illyria Nominees Television Pty Ltd’s joint bid to acquire Ten Network Holdings Limited. Illyria is wholly owned by Lachlan Murdoch, who is also Co-Chairman of News Corporation and Executive Chairman of 21st Century Fox.

The Australian government should consider implementing rules that maintain news voice diversity and are fit for the 21st-century media landscape. Ideas for policy transfer from overseas jurisdictions are sorely needed, such as a news content industry fund or levy, or other forms of tax breaks or public service subsidies.

In 2006, the Liberal-National Coalition government introduced reforms to cross-media ownership and foreign media ownership laws. These reforms came into effect in 2007, with further changes in 2017 abolishing 'two out of three' restrictions that had previously prevented news companies from owning newspaper, radio, and television services within the same city.

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Media diversity in Australia

Australia has a diverse range of media outlets, including newspapers, magazines, television, radio, and online news sources. However, media diversity in Australia has been a topic of debate, with some arguing that certain organisations have too much influence over the country's media landscape.

One of the key players in Australia's media landscape is News Corp Australia, a wholly-owned subsidiary of the American News Corp. News Corp Australia is a media conglomerate with interests spanning newspaper and magazine publishing, television and film production, and digital media. The company has a significant presence in the country, owning seven out of 12 national or capital city daily newspapers (58%) as of 2021. This figure excludes weekend papers and regional publications, where News Corp also has a strong presence.

The history of News Corp Australia is tied to Rupert Murdoch, who inherited The News from his father in 1952 and quickly expanded his holdings. Over the years, Murdoch's News Limited (now News Corporation) acquired numerous newspaper publishers, such as The Herald and Weekly Times, Brisbane's Queensland Newspapers, and Adelaide's Advertiser Newspapers. Murdoch's influence extended beyond print media, as he also ventured into television with the purchase of Metromedia television stations in 1985, leading to the launch of the Fox Broadcasting Company in 1986.

Murdoch's reach in Australian media has been a subject of discussion, with some arguing that News Corp papers dominate in certain states, potentially influencing political power at the local and national levels. However, it is important to note that media diversity ownership has evolved, and other independent publishers have entered the market. Additionally, while print newspapers were once the primary source of news, a 2020 report showed that TV, online sources, and social media have become more prominent in how Australians consume their news.

In conclusion, while News Corp Australia holds a significant presence in the country's media landscape, Australia has witnessed an evolution in media diversity ownership, with various organisations and platforms contributing to a diverse media environment.

Frequently asked questions

No, News Corp Australia is a wholly-owned subsidiary of the American News Corp, which is a multinational media and information services conglomerate founded and headed by Rupert Murdoch.

News Corp Australia owns seven of Australia's 12 national or capital city daily newspapers, which equates to 58% of the market share. It also owns other media assets such as radio and pay television services.

News Corp Australia has its origins in News Limited, which was created in 1923 by James Edward Davidson to purchase newspapers in Australia. Over time, Keith Murdoch gained a controlling interest in the company, and after his death in 1952, his son Rupert Murdoch inherited a controlling interest in the company. Rupert Murdoch then expanded the company's holdings by acquiring numerous newspapers in Australia.

News Corp, through its publications, has been used to support Murdoch's political interests in Australia. Murdoch has also lobbied to change Australia's cross-media ownership laws to benefit his company. However, there is no indication that News Corp Australia is directly controlled by the Australian government.

There are concerns about News Corp's dominance in the Australian media landscape and its potential impact on political power. Additionally, there have been allegations of right-leaning reporting and a lack of editorial independence in Murdoch-owned newspapers.

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