Murdoch family’s succession battle over media empire begins

The trial over the future of Rupert Murdoch’s empire began yesterday in a courthouse in Reno, Nevada, as the media mogul wants to give his eldest son control of his family trust.

Currently, Murdoch’s trust gives his four eldest children—Lachlan, James, Elisabeth, and Prudence—equal power after his death. This would mean they could potentially vote Lachlan out of his positions as the CEO and chairman of the media and news organizations.

Murdoch wants to amend the trust to give Lachlan full voting rights, which his other three children oppose.

What’s next?
The 93-year-old billionaire must convince the court that giving Lachlan all voting power will protect the company’s value for all his children, including two younger daughters from his third marriage.

Lachlan shares Murdoch’s right-wing views, while the other siblings are more progressive and have criticized Fox’s political stance. James endorsed Democratic presidential nominee Kamala Harris, recently.

Much at stake
Fox News has been successful by catering to a conservative audience, and Murdoch argues that changing this political direction would hurt its value. The news channel has significantly higher ratings and revenue than its competitors, CNN and MSNBC.

The court will examine whether appointing Lachlan as the sole leader benefits the other children, even if they lose their voting power.

Investors are concerned about the potential for family disagreements to affect the company’s future.

The Succession-style legal battle is private. A probate commissioner denied top media news outlets’ requests to unseal court proceedings and records.