Rupert Murdoch, chief executive of 21st Century Fox, has declared he is about to step down from the position. Murdoch, 84, will be handing over the responsibility of the media empire to his two sons, James and Lachlan.
The news of Rupert Murdoch stepping down from 21st Century Fox does not mean he is leaving the company completely. He will be the executive chairman of the company and will have the final say on company matters. It’s just a “title change,” as described by CNN Money in its report.
As far as the CEO position is concerned, James Murdoch will take up the position while his brother Lachlan will be co-executive chairman of the company. According to a source mentioned by CNN Money about senior Murdoch, “He really wants his boys to run the company together.”
There will be another change in position with Chase Carey, the president and chief operating officer. He will still be the advisor of the CEO. It is to be noted that Carey signed a 2-year contract with the company last June.
On the other hand, the decision of appointing James as CEO is a step to rebuild his career, taken by the affectionate father. James Murdoch, 42, had to step down as head of BSkyB when he became part of a scandal that rocked the Murdoch’s newspapers. Since then he has been acting as co-chief operating officer at Fox.
Though James will become the CEO of the company, Lachlan, 43, will be James’ boss with his position as executive co-chairman.
As per a report on CNBC, the reorganization of the position may take effect from the start of 2016 or it may come later this year. A Fox spokesperson mentioned this succession to be the agenda of the director in the next regular meeting. Nothing more was revealed by the company.
Rupert Murdoch controls 39.4% share of Fox through Murdoch Family trust. Fox Hollywood Studios and television businesses are owned by the company. According to a BBC News report, Fox reported an income of $975 million in the last quarter this year.