News Corp has agreed to sell its Australian cable TV unit Foxtel to British-owned sports network DAZN for $2.1 billion, including debt. The deal will see News Corp hold a 6% stake in the platform and gain a board seat.
Foxtel, launched by News Corp in 1995, has struggled to adapt to changing consumer habits, with more people opting for cheaper streaming options like Netflix. Despite attempts to diversify with its own streaming services, Foxtel’s earnings have suffered due to soaring costs of sports broadcasting rights and shrinking subscriber revenue.
DAZN’s entry into the Australian market could potentially disrupt the pricing landscape, offering competitive or lower rates that may shift consumer expectations. The deal will be finalized in the second half of 2025, subject to regulatory approval by Australia’s Foreign Investment Review Board (FIRB).
Source: https://edition.cnn.com/2024/12/23/business/murdoch-news-corp-foxtel-sale-intl/index.html