Tag: Rupert Murdoch Page 4 of 7

Murdoch sells local papers to GateHouse investor

On September 3, 2013

Rupert Murdoch is selling The Middleboro Gazette, the weekly that covers the Southeastern Massachusetts town where I grew up. I’m not sure Murdoch ever knew he owned it in the first place. It’s just something that was thrown in when his News Corporation bought The Wall Street Journal and Dow Jones in 2007.

Earlier today, Dow Jones’ chain of local newspapers — formerly the Ottaway group — was acquired by an affiliate of Fortress Investments, the majority owner of GateHouse Media, which will manage the papers. I’m not sure why GateHouse itself isn’t buying the papers, but perhaps we’ll learn more in the days ahead. Jim Romenesko has more.

Dow Jones’ regional properties include some high-quality, well-known dailies such as The Standard-Times of New Bedford, the Cape Cod Times and the Portsmouth Herald of New Hampshire.

Two questions spring to mind:

In general, the Ottaway papers have been spared some of the cuts that the financially struggling GateHouse chain has implemented. Will downsizing now commence? Or will the Ottaway papers’ odd status as non-GateHouse papers spare them?
What happens to Boston Herald owner Pat Purcell, who’s been running the Ottaway papers for Murdoch since 2008? Will he content himself with running the Herald? Or will Murdoch come up with a new assignment for him?

The deal includes 33 publications, eight of them daily papers. Romenesko reports that financial terms were not disclosed. But given that The Boston Globe recently went for $70 million — not much more than the value of its land — I can’t imagine that a significant amount of money is changing hands.

Update: From Wednesday’s New York Times:

The details of the transaction were not released, but the money involved was evidently relatively small, because if it had been bigger (or, in financial terms, material to the company) News Corporation would have had to disclose more financial information.

Ouch.

Update II: Shows you what I know. Fortress paid $87 million for the Dow Jones papers, which may be a fraction of what they were worth a few years ago, but is more than I had imagined.

According to Tiffany Kary of Bloomberg BusinessWeek, an enormously complicated reorganization is now under way. The long-in-the-making bankruptcy of GateHouse Media is now a reality, and the company will be absorbed into a new company to be created by Fortress called New Media.

Update III: Jon Chesto of the Boston Business Journal has posted a must-read analysis of what’s going on. Talk about failing up. GateHouse is going bankrupt and will become part of something bigger. And it looks like GateHouse chief executive Mike Reed isn’t going anywhere.

The Daily was on the Internet — but not of the Internet

By Dan Kennedy

On December 7, 2012

In Media

Rupert Murdoch this week killed off The Daily, the tablet-centric electronic newspaper that he unveiled nearly two years ago to great fanfare and even greater skepticism.

It’s no exaggeration to say this was one experiment that was dead on arrival. Very few observers believed there was a market for a middlebrow paid digital news product aimed at a general audience. And those few were proved wrong.

It so happens that The Daily died just as I was reading “Post-Industrial Journalism,” a new report by Columbia’s Tow Center for Digital Journalism. The authors, C.W. Anderson, Emily Bell and Clay Shirky, argue that digital technology has ended the industrial model of journalism — an approach to news built around the industrial processes (printing plants, fleets of trucks and the like) needed to produce and distribute it. They credit the phrase “post-industrial journalism” to the redoubtable Doc Searls, who in 2001 defined it as “journalism no longer organized around the norms of proximity to the machinery of production.”

The problem with The Daily — or, at least, one of the problems — was that Murdoch followed the industrial model of news despite his reliance on post-industrial technology. The Daily was a centralized operation built around a daily cycle when it should have taken advantage of not being tied down to a print edition. It was essentially an electronic version of a print newspaper that offered none of the advantages of either format.

The Daily was not part of the broader Web. Social sharing was difficult if not impossible. The Daily was, well, a daily — it came out once a day, you downloaded it and that was that. No updating until the next day’s edition. At first, you could only read it on an iPad, although it eventually migrated to other tablets and to the iPhone.

With print, people are willing to put up with some of these shortcomings because of the convenience and aesthetics of ink on paper, which still haven’t lost their appeal. An online news source simply has to offer more. The Daily was on the Internet, but it wasn’t of the Internet. Its demise was inevitable.

For the Cape Cod Times, the beginning of the trail

By Dan Kennedy

On December 5, 2012

In Media

Image via Today’s Front Pages at the Newseum

You may have heard that a journalistic scandal is unfolding at the Cape Cod Times. A 59-year-old reporter, Karen Jeffrey, left the paper after editor Paul Pronovost and publisher Peter Meyer concluded she had fabricated sources in at least 34 stories dating back to 1998. Jeffrey had worked at the daily since 1981.

According to the apology that the paper has published, the fabrications appear to be restricted to “lighter fare,” and that Jeffrey managed to stick to nonfiction when covering hard news. That might help explain how she got away with it for so long. Then, too, fictional sources don’t call up the editor to complain.

Still, you have to wonder if anyone either inside or outside the newsroom harbored suspicions. This is a big deal — as bad as Mike Barnicle, Patricia Smith and Jayson Blair. The only difference is that Jeffrey’s downfall is playing out on a smaller stage. Count me as one observer who would like to know more.

Jim Romenekso covers the scandal here; Poynter’s Andrew Beaujon has more here; Walter Brooks of Cape Cod Today indulges in a little schadenfreude here.

Rupert Murdoch, believe it or not, actually owns the Times, a consequence of his having bought the Wall Street Journal and its affiliated properties five years ago. Boston Herald owner Pat Purcell, a Murdoch protégé, is involved in managing the Times and other Murdoch-owned community papers.

Jeffrey’s reign of error began many years before the Murdoch era. But it will be interesting to see whether Purcell is heard from as this story unfolds.

At the Boston Herald, 30 years down the road

By Dan Kennedy

On December 3, 2012

In Media

The Boston Herald has put together a video to mark the paper’s 30th anniversary of its current incarnation. In December 1982, Hearst nearly closed the doors before Rupert Murdoch swept in and rescued the tabloid in return for concessions from the paper’s union.

The video, featuring Herald columnists Joe Fitzgerald, Margery Eagan and Howie Carr, publisher Pat Purcell (who bought the paper from Murdoch in 1994) and others, is a self-celebration over Boston’s having remained a two-daily town — rare then and even more rare today. It’s accompanied by a column in which Fitzgerald remembers the emotional rollercoaster everyone was on.

I should add that Fitzgerald was the subject recently of a touching column by his colleague Jessica Heslam following the death of his wife, Carol. Heslam’s piece has slipped into the paid archives, but John Carroll recently excerpted parts of it. Media Nation extends its best wishes to Fitzgerald and his family.

What’s next for Kevin Convey?

By Dan Kennedy

On January 5, 2012

In Media

Kevin Convey presents an award to boxing legend Joe Frazier last August.

Obviously Kevin Convey doesn’t wear the right kind of shoes.

Word came Wednesday afternoon that Convey, a former Boston Herald editor, was being replaced as editor of the New York Daily News (via Poynter). The new boss: Colin Myler, who was editor of Rupert Murdoch’s News of the World when it was shut down amid the phone-hacking scandal. Myler was reportedly not involved, and even called out James Murdoch over his claims that he knew nothing about nothing.

According to Capital New York, Convey was seen by Daily News staffers as never quite fitting in during his two years at the helm. An unnamed source is quoted as saying that, among other things, “he dressed funny. What type of editor-in-chief wears Chuck Taylor All-Stars to work?” Well, there you go.

The shake-up at the Daily News gets a mention in the Boston Globe’s Names section today, and the Herald runs an Associated Press story that contains no reference to Convey’s Herald tenure (different in the print edition, perhaps?). The unanswered question is whether Herald publisher Pat Purcell would bring back Convey in some capacity. Convey’s a smart, interesting guy, and it would make sense to bring him in at least as a consultant, provided he wants to do it.

Now, follow the bouncing tabloid battles. Daily News owner Mort Zuckerman, whose roots are in Boston, hired Convey from the Herald, which used to be owned by Murdoch and whose current owner, Purcell, continues to have business ties to the “genocidal tyrant.”

Zuckerman’s competition, of course, is Murdoch’s New York Post. Now Zuckerman has replaced Convey with Myler, an old Murdoch hand who may be looking to get revenge. This should be fun.

Last year, David McKay Wilson profiled Convey for the Colby College alumni magazine. To shed further light on the scandal that brought Convey down, Wilson reports that Convey was wearing “black tasseled loafers” when they met — though without any socks.

“I haven’t worn socks in the summer for years,” Convey told Wilson. “I like cool beachy feet.” Hmmm.

Photo (cc) by Akira Kouchiyama and republished here under a Creative Commons license. Some rights reserved.

For the Herald, a long-term lease and lots of space

By Dan Kennedy

On September 7, 2011

In Media

We already knew that the Boston Herald, having shut down its printing presses, was getting ready to leave its hulking South End plant. Now the other shoe has dropped, as Herald owner Pat Purcell announced yesterday that the paper will move to the Seaport District in early 2012.

Two pieces of information seem significant. First, the Herald signed a 10-year lease, which, if nothing else, ought to give pause to those who perpetually predict the tabloid’s demise. Second, the paper will commandeer 51,000 square feet of space.

I’m not good at visualizing what that means, but it sounds like a lot for what has become a small operation. Is Purcell planning to expand? Or does he have additional ventures in mind? Don’t forget that he moonlights as head of Rupert Murdoch’s South Coast papers.

Memo to Tom Menino: Boston is not “a two-newspaper town” — it’s a multiple-newspaper town, with excellent papers ranging from neighborhood outlets such as the Dorchester Reporter and the South End News to specialty publications like the Boston Phoenix and Bay Windows.

Boston is a two-daily town, and it looks like Purcell intends to keep it that way for as long as he can.

The Boston Globe covers the Herald’s move as well.

Rupert Murdoch, Peter Lucas and the politics of hate

By Dan Kennedy

On July 22, 2011

In Media

Peter Lucas

Former Boston Herald columnist Peter Lucas has a scorcher of a piece about his old boss Rupert Murdoch online at the Fitchburg Sentinel & Enterprise and the Lowell Sun. Lucas’ job was one of many that were saved when Murdoch took the dying Herald American off Hearst’s hands in 1981. But he says he discovered the dark side of that deal in December 1982, when he was personally asked by Rupe: “Is the governor on the take?”

Lucas doesn’t say which governor. In late 1982, Ed King was the outgoing governor and Michael Dukakis, coming back after his defeat at the end of his first term in 1978, was governor-elect. It seems likely Murdoch was more interested in Dukakis than King. In any event, Murdoch soon developed a deep and abiding hatred for Dukakis, which came to a full flowering during the Duke’s ill-fated presidential campaign in 1988. Lucas writes of Murdoch’s Herald:

The paper, under Murdoch’s orders, turned on Dukakis with such hate that it was difficult to comprehend. Murdoch, who supported Vice President George Bush, simply used the paper — Dukakis’ “hometown” paper — to savage Dukakis. The more serious Dukakis’ candidacy became, the more he was mocked, smeared and ridiculed, as was his poor wife, while Murdoch secretly met with Bush.

In Des Moines just days before the important Iowa Democratic presidential primary, a Murdoch executive from the Herald told his reporters, “My job is to make sure Dukakis doesn’t become president.”

It was during that period I met with a key Murdoch editor of the paper from London. I asked him, “Where did all this hate come from? We never had this hate before.”

He turned red in the face and looked down at his shoes. When he did not answer, I said: “You guys brought it in.” Needless to say, I was soon gone.

Lucas writes that the Murdoch he knew had “a darkly cynical, nasty and negative attitude toward politics, government and humanity in general.” Certainly nothing has changed over the years. Fortunately, Murdoch sold the Herald in 1994.

Back in his Herald days, Lucas was one of the most visible and respected political columnists in Boston. It was Lucas who was victimized by then-Boston mayor Kevin White in 1983, which led to the Herald’s classic “White Will Run” headline. (White wouldn’t run.) And he’s no liberal — his reincarnated political column consists largely of conservative criticisms of Gov. Deval Patrick and the local political culture.

Lucas’ observations about Murdoch should be taken for what they are: the first-hand account of a good newsman, appalled at the lack of ethics and standards epitomized by Murdoch and his wrecking crew. Keep that in mind as we try to figure out whether Murdoch’s son James was lying or simply didn’t know what he was talking about when he and Dad appeared before a parliamentary committee earlier this week.

The ongoing collapse of Murdoch’s media empire

By Dan Kennedy

On July 13, 2011

In Media

Rupert Murdoch

Like media obsessives everywhere, I’ve been watching with gleeful fascination as Rupert Murdoch’s British media empire collapses around him. I wish nothing but ill for the “rotten old bastard,” and I certainly don’t expect that the electrifying news of the moment — that he has withdrawn his bid for BSkyB — will be the end of it.

The next step is for the Murdoch media scandal to get untracked in the United States. There’s certainly plenty for us to sink our teeth into. Wall Street Journal publisher Les Hinton is a Murdoch intimate who is up to his neck in the British phone-hacking scandal. Even better, the U.S. Justice Department and the Securities and Exchange Commission are mandated by law to investigate Murdoch’s News Corp. under the Foreign Corrupt Practices Act because of allegations that Murdoch’s British operations paid bribes to police officers. (I can’t believe I’m linking to Eliot Spitzer.)

Even a few days ago, some critics doubted Murdoch would fall because of all the powerful friends he had made. It’s clear now — it should have been then — that he has no friends. He had allies he cultivated, and he was able to do so because they feared him. Now the fear is gone. Instructive is this New York Times story on how quickly British prime minister David Cameron is moving away from him. Far more entertaining is this Simon Jenkins commentary in the Guardian, which I guess is sort of a defense of Murdoch. Roasted genitals figure prominently.

Kudos to the Guardian (for whom I am a contributing writer), which has led the way on breaking the Murdoch story. You can follow its coverage here.

Also worth bookmarking is Greg Mitchell’s “Murdoch Watch” blog at the Nation. Mitchell is nothing if not comprehensive, as he has proved by blogging WikiLeaks developments over the past seven months. The WikiLeaks story may have allegations of sex, but for my money the Murdoch story is a lot sexier.

Photo (cc) by the World Economic Forum and republished here under a Creative Commons licnese. Some rights reserved.

A Globe-Herald spat, 31 years down the line

By Dan Kennedy

On May 23, 2011

In Media

Jimmy Carter in 1980

Former Boston Herald (and Boston Phoenix) political reporter Peter Lucas checks in with an account of his exclusive Herald interview with then-President Jimmy Carter during Carter’s 1980 re-election campaign against Ted Kennedy.

Lucas’ stroll down memory lane was prompted by a Jessica Heslam piece in the Friday Herald — part of the paper’s multi-day package on its White House snub — recounting past instances of journalists and presidents not getting along. Heslam wrote:

Veteran White House reporter Curtis Wilkie, who covered former President Jimmy Carter’s administration for the Boston Globe, said that Democratic commander in chief “so disliked” the Hub broadsheet that he gave the conservative Herald an interview rather than the Globe, because the administration felt the Globe had been unfair to Carter.

“He didn’t care for the Globe. It didn’t matter to me,” said Wilkie, who teaches journalism at the University of Mississippi. “Nothing wrong with being in an adversarial position with the White House. Better to be adversarial than too cozy.”

Wilkie’s recollections prompted an email from Lucas to Heslam. Lucas, now a columnist for the Lowell Sun and the Fitchburg Enterprise & Sentinel, sent along a copy to Media Nation and gave me permission to post it. I’ve broken it into a few paragraphs for readability:

Jessica: Curtis Wilkie doesn’t know what he’s talking about regarding the Herald’s interview with Jimmy Carter. I got that interview and by no means was it “given” to me. Wilkie is in need of a memory transplant when he says it did not matter to the Globe at the time. The Globe absolutely panicked and whined to the White Housse for weeks.

Not to bore you with an old war story but here it is. Ted Kennedy was challenging Carter for the presidency in 1980. The Globe was in the tank to Kennedy, (what else is new?) and Kennedy was not talking to the Herald. I told Jody Powell, Carter’s press secretary, that the Globe would kill him in the primaries but that the Herald would give him a fair shake.

All I wanted out of it was an exclusive interview with the president who at the time was in his Rose Garden strategy because of the Iranian hostage situtaion and not talking to any reporters. The primary coverage was important because you had the Iowa caucus coming up and this was to be followed by the caucus in Maine and then the really important New Hampshire primary.

Powell was skeptical and wary. He did not want to anger the Globe. I persisted. So Carter beats Kennedy in Iowa and the Globe gives the headline to Kennedy. The same happens the following week in Maine. I go to Jody Powell and say I told you so. I hound him (as only a Herald reporter can do) in the days before the New Hampshire primary and Carter finally relents. I get to interview Carter alone in the Oval Office and the story leads the paper Feb. 15, 1980. It is a huge deal and makes the national news. (I still have it hung up in my garage.)

Days later Carter beats Kennedy in his own backyard of New Hampshire and it is all over for Kennedy, although he staggers around through the convention. The story was a clean exclusive and it embarassed the Globe to no end, including my friend Wilkie. The Globe had a huge Washington Bureau at the time and we had nobody down there, and here comes a Herald reporter out of nowhere and beats the hell out of them, It was great. Joe Sciacca will remember.

Keep up the good work. Cheers, Peter Lucas.

Highly entertaining stuff. I would, of course, love to post a response from Wilkie. And just to keep the historical record straight, Lucas in 1980 was working for the Hearst-owned Herald American. The modern Herald came into existence two years later, when Rupert Murdoch saved it from being shut down.

Photo via Wikimedia Commons.

Why The Daily is straight out of 1994

By Dan Kennedy

On February 3, 2011

In Media

I haven’t had a chance to play with The Daily yet. If I’m really, really good, maybe Mrs. Media Nation will let me borrow her iPad so I can have a look. In terms of the business model and the approach, though, the mutant spawn of Rupert Murdoch and Steve Jobs looks remarkably like the early-’90s Knight Ridder newspaper of the future come to life.

I was first introduced to the digital newspaper at a conference at Columbia University in 1993. Among the speakers were retired Boston Globe editor Jack Driscoll, a true visionary, and Knight Ridder futurist Roger Fidler.

Fidler presented an idea: a newspaper that you would download onto a digital tablet of some sort. Fidler was so far ahead of his time that his tablet still hasn’t been created. The iPad is a step along the way, but Fidler’s notion was that it had to be light and flexible, with the same image resolution as a quality magazine and so cheap that newspapers would give them away.

Take a look at the 1994 video above, in which Fidler introduces his tablet, and consider all the stuff he and his colleagues had already figured out: an easy navigation system (he envisioned a stylus rather than your finger); embedded videos; interactive advertising.

The problem was that he missed the two developments that did the most to undermine the newspaper business: the Web, which made the kind of closed media ecosystem he envisioned obsolete; and the demise of “branded content” as a selling point. News has become a commodity in ways we couldn’t have imagined nearly two decades ago. So it’s fascinating that Murdoch and Jobs have attempted to resuscitate those two moribund notions.

First, you’ll only be able to get The Daily through a closed system. For Fidler, it was your cable television box and, if you were on the move, digital kiosks of some sort. For Murdoch and Jobs, it’s the iTunes Store.

As for branded content, that’s what The Daily is all about. It’s on but not of the Internet, so you won’t be able to search for individual stories or find links to Daily content on aggregators like Google News or the Huffington Post. It’s a discrete, branded product, and you will either buy it (for 99 cents a week) or you won’t.

Will it work? As I told Chris Lefkow of Agence France-Presse, it will probably enjoy some modest success, but I can’t see it truly taking off. There’s nothing you can get from The Daily that you can’t get somewhere else for free.

A lot of news organizations are experimenting with paid-content models right now, but all of them envision remaining more or less open to the great conversation that the Internet has fostered. The Daily, by contrast, is straight out of 1994.

Interestingly enough, Fidler tells the Poynter Institute that he loves The Daily:

My first impression is very positive. Team Murdoch has done what I’ve always hoped newspapers would do with their tablet editions — create an interactive hybrid of print and Web that is visually rich and enjoyable to read.

So does Slate’s Jack Shafer, with reservations.

Personally, I would love a high-quality (which is to say, non-Murdoch) digital news service that looked like The Daily but that wasn’t cut off from the Web. If that’s where, say, the New York Times is eventually going with its tablet apps, then that is something I’d truly find exciting.

The Daily? I wish Rupe and Steve well, but I’m I don’t plan on becoming a customer.