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Murdoch family skips traditional Christmas reunion amid feud
The media dynasty, known for rare but lavish holiday gatherings, will spend this Christmas apart following a contentious legal battle that severed three siblings from the family empire. Rupert Murdoch's mid-90s decision to exclude his children Elisabeth, James, and Prudence from News Corp and Fox Corp has left relationships fractured, with reconciliation unlikely this year.
Legal battle reshapes family dynamics
The dispute centered on a 1999 trust established during Rupert Murdoch's divorce from Anna, mother to Lachlan, Elisabeth, and James. The trust granted the four eldest Murdoch children equal control of the companies upon Rupert's death. However, Rupert sought to alter its terms, fearing his more liberal-leaning children would steer the businesses away from his conservative vision after his passing.
A Nevada judge initially ruled against the changes, citing bad faith. Behind closed doors, the warring factions reached a settlement: Elisabeth, James, and Prudence agreed to sell their shares and forfeit future equity in the family firms. The deal, finalized this year, effectively barred them from the empire they grew up in.
"It's a sad ending. These kids worked in the business, grew up in the business, and the press release said, 'You can't buy shares in this company,' effectively telling them, 'Don't let the door hit you on the way out.'"
Claire Atkinson, biographer of Rupert Murdoch
Sibling relationships irreparably damaged
James Murdoch, who once described his father as a "misogynist" in a The Atlantic interview, has called Rupert's courtroom tactics "twisted." His relationship with both his father and Lachlan appears beyond repair. Elisabeth, the executive chairman of production company Sister, and Prudence are reportedly focusing on moving forward, though sources suggest they hope to mend fences with their father before his death.
Lachlan Murdoch, now the sole heir to the Murdoch empire, has framed the settlement as "good news for investors," providing clarity for the companies' future strategy. His leadership at Fox Corp, where he has served as CEO since 2019, has seen the share price double, driven in part by a ratings surge during the Trump presidency. This success, however, raised the cost of buying out his siblings.
Corporate shifts under Lachlan's leadership
While Rupert Murdoch remains a dominant figure in the company-described as "the sharpest person in the room" even at 94-Lachlan is carving his own path. Unlike his father, whose career blended journalism and political influence, Lachlan is seen as a businessman focused on profitability. Under his tenure, Fox Corp has expanded into digital and streaming, with Tubi, its ad-supported video-on-demand service, turning profitable this past quarter.
Fox News, the financial backbone of the empire, continues to thrive, posting record advertising revenue in the July-September quarter. However, experts warn that the debt incurred from the sibling settlement could pressure the company to double down on polarizing, high-engagement content.
"The proven way to be profitable in cable/streaming news is not by becoming more centrist and civil, but by becoming more extreme, more polarizing, and more willing to stir outrage."
Rodney Benson, Professor of Media, Culture, and Communication at New York University
A family divided, but business moves forward
Three months after the settlement, the Murdochs remain deeply divided. Lachlan, who hosted his annual party for Australia's elite in Sydney earlier this month, is said to be well-regarded within the company, though his decisions are often overshadowed by his father's legacy. Rupert, meanwhile, remains actively involved, recently spending two weeks in London, where he attended a state banquet with President Trump and visited News UK's offices.
Anna Murdoch's 1980s novel, Family Business, eerily foreshadowed the current rift. The book explored how a media mogul's children became rivals in a power struggle, mirroring the real-life tensions that have now erupted. In a 1999 interview, Anna expressed hope that none of her children would take over the empire, predicting "a lot of heartbreak and hardship."
The trust she helped establish to protect her children's futures has instead become the source of their exclusion. With three of Rupert's six children now estranged, the Murdoch family's next chapter remains uncertain.
