| Define Nepotism |
17 November 2003
|
Murdoch's Son Made CEO of BSkyB
James Murdoch, age 30, is now chief executive officer of BSkyB, the satellite broadcaster. It is unlikely that many people his age were considered for the position, and certainly none without a college degree (Mr. Murdoch dropped out of Harvard) were granted interviews. So how did he land this job, on the strength of his success at Star TV in Asia or because his father, Rupert Murdoch, controls around 37.5 % of BSkyB's shares through News Corp.? The world may never know.
The truth is, Mr. Murdoch the Younger, got his chance at Star TV because of his father's wealth and power. He started a record label in 1994 (Rawkus), that enjoyed some critical acclaim, but it was far from a financial success. He joined his father's business empire in 1996 as the label was bailed out. Full credit to the younger Mr. Murdoch for trying on his own. He probably learned a great deal about business by failing at it -- one never learns from life's successes.
In 1997, he was put in charge of News America Digital Publishing, the music division of News Corp. that included new media properties. At the age of 28, in May 2000, he got the Star TV job, which News Corp. also had a huge stake in. He was a success there, too. He was at the helm when it booked its first profit last year.
And now, he's the boss at another satellite broadcaster. There is every chance that his skills have developed over the years, and there is no doubt that any experience at Star will be transferable to BSB. But at the end of the day, he's still his father's son. His appointment was greeted with some anger by some shareholders. "You have an arrogance to shareholders that is appalling" said one shareholder. Most of the others are holding their tongues for now.
It is probably no picnic being the son of Mr. Rupert Murdoch. It is probably a very demanding position as head of Star and BSB. It could be that Mr. James Murdoch is a great leader in buisness at the age of 30. Yet no matter how hard he tries, and no matter how well he does, there is always going to be a belief in some quarters that he got the job because he left his application on the breakfast table addressed to "Dad" as Private Eye suggested. Still, one must question his choice of business -- his father owns the LA Dodgers, too, and rebuilding them would be a true test of business talent.
Home