News Corp. Unveils Name for Media Unit Spinoff

by Christopher Freeburn | April 17, 2013 9:14 am

foxlogo 300x130 News Corp. Unveils Name for Media Unit Spinoff[1]On Tuesday, News Corp. (NASDAQ:NWSA[2]) unveiled the new name of its entertainment unit[3], which will become an independent company later this year.

Despite earlier plans to dub the spun-off company Fox Group, the entertainment business will be called 21st Century Fox. In a message to company staff, News Corp. head Rupert Murdoch said that the name built on the reputation 20th Century Fox, which majority control of which he acquired in 1985, Bloomberg noted.

After the split, News Corp. will operate the conglomerates current publishing business, including its newspaper operations.

Murdoch will served as chairman and CEO of 21st Century Fox. The company will comprise film and television businesses. The Twentieth Century Fox film studio, which has been in business for 78 years, will keep its name under the plan.

Earlier this month, an executive at the company’s Fox broadcasting network threatened to switch the network to a subscription-based service[4] in order to prevent wireless streaming start-up Aereo from transmitting its programming without paying a fee.

Shares of News Corp. sank about 1% in pre-market trading on Wednesday.

Endnotes:
  1. [Image]: http://investorplace.com/wp-content/uploads/2013/04/foxlogo.jpg
  2. NWSA: http://studio-5.financialcontent.com/investplace/quote?Symbol=NWSA
  3. new name of its entertainment unit: http://www.businessweek.com/news/2013-04-16/news-corp-dot-will-call-entertainment-spinoff-21st-century-fox
  4. threatened to switch the network to a subscription-based service: http://investorplace.com/2013/04/exec-threatens-to-make-fox-network-a-pay-only-tv-channel/

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