James Murdoch anointed as News Corp heir apparent

08 December 2007

Rupert Murdoch''s younger son James will triumphantly return to News Corp and head its Asian and European operations, practically confirming that he will eventually take over his father Rupert Murdoch's global media empire.

Murdoch, 34, will become chairman and chief executive of Europe and Asia at News Corporation, taking charge of its broadcasting, print and Internet divisions, including the Hong Kong-based Star TV, Britain''s Sun newspaper and Sky Italia.

He rejoins the News Corp board and will step down as chief executive of Britain''s pay-TV service BSkyB, but will remain with the television conglomerate as non-executive chairman, replacing his 76-year-old father Rupert. BSkyB Finance Director Jeremy Darroch will become CEO.

The announcement on Friday 7 December was part of a wider shake up in the media empire, which spans newspapers, film studios, satellite television services and Internet properties such as MySpace. Some investors say James Murdoch, who repositioned Sky to cope with an ever-changing media environment, can do the same in challenging geographies like China.

Consolidating the group's management in Europe and Asia is seen as critical for improving News Corp's growth outlook. The group generates over 50 per cent of its revenue outside the United States.

James Murdoch will report to Peter Chernin, News Corp''s president and chief operating officer. He will be based in London and take charge immediately. Rupert Murdoch will step down as chairman of BSkyB and resign from its board. He became a director of the company in 1990 and has served as chairman since 1999.