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OFF THE GRID

Could Murdoch’s Love of Gossip Doom His Family?

Jul 10, 09 | 9:33 AM   byMichael Wolff
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Gossip was one of the consistent themes in my conversations with Murdoch when I interviewed him over nine months last year. If I brought him gossip, he was much happier than when I did not. Sometimes I made the gossip up—that kept him as happy. Gossip, for Murdoch, is partly business intelligence, but Murdoch also likes to know who is sleeping with whom. He especially likes to know what liberals are sleeping around (but he will take conservatives, too). It is a prurient interest, but it is also leverage. He refers to having pictures and reports and files—though this may be as much what he imagines a powerful person like himself should have, whereas all he really has is some speculation from sycophantic reporters feeding him what he wants to hear.

The Guardian’s report about the revelations of massive illegal tapping of government officials by private investigators in the employ of his tabloid newspapers in London has as much to do, I believe, with currying favor with Murdoch as it does with selling newspapers (no less uncovering the truth).

Did Murdoch know his daily gossip fix came from illegal wiretaps?

Murdoch calls Rebekah Wade, the former editor of News of the World and of the Sun and a family favorite, at least twice a week, sometimes daily. He checks in with the editor of the weekly News of the World before every issue. He wants to know what his editors know—at the same time they are careful not to tell him what he doesn’t want to know (he wouldn’t listen anyway).

When the New York Post’s Page Six editor, Richard Johnson (who regularly supplies the boss with unpublished tidbits), admitted taking bribes from sources and subjects, Murdoch was furious. But a good publisher, Murdoch believes, must tolerate the bad behavior in a newsroom—he didn’t fire Johnson—understanding that it is precisely such bad behavior that gets the story and provides the gossip that the boss lives for (and that sells the papers).

Equally, the reporters know that the more gossip they provide, the more their behavior will be tolerated.

So, no, Rupert may be the reason for the wiretaps, but he would not have been told about them. Don’t ask, don’t tell. (Also, the newsroom likes the boss to think they have magic ways to get the gossip.)

But here’s the problem facing the company: His son James might have known.


(James Murdoch, AP Photo)

James, the heir apparent at News Corp., took the helm of his father’s UK properties in late 2007. Along with broader responsibilities, he replaced Les Hinton, who had run the Murdoch British newspapers before taking over the Wall Street Journal. During this time, James was in daily contact with Rebekah Wade, the editor of the Sun, who, in June this year, was elevated to the Hinton job, reporting directly to James.

James is not a gossip. He prides himself on business discipline—that’s his value to his father. While he would not have wanted to know the gossip, he would have wanted to know the procedures, the costs, the risks—and Wade would certainly have told him in great detail.

What’s more, Rebekah Wade is the best friend of Matthew Freud, Murdoch’s son-in-law. Freud is the most plugged-in PR man in London. He may know more than anyone else about everyone else in London. Wade’s spectacular rise in News Corp. is in part about her relationship with Freud, and his wife, Elisabeth Murdoch—a friendship founded on gossip (Murdoch himself gossips about how Wade has curried favor with his family). Freud, not as savvy as his father-in-law, would have asked where the gossip came from.

The family circle will hang tight as it always does. But this time it could unravel.

More of Newser founder Michael Wolff's articles and commentary can be found at VanityFair.com, where he writes a regular column. He can be emailed at michael@newser.com.

17 comments
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DanDubno
Jul 10, 09 1:24 PM CDT
C'mon Michael... you can't be serious... Murdoch's family "unravel?" Over what? "Gossip" that defines their DNA? You made one useful observation though: James Murdoch is an impressive fellow and should by all logic be Rupert's heir. Rupert and logic are not always synchronized: buying the Wall Street Joiurnal, for example, whe he knew the "sky was falling" in newspaper-land. Reply
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MichaelWolff
Jul 10, 09 3:00 PM CDT
Well, jeez, Dan, people do unravel when they're faced with criminal investigations and jail. Is that possible here? If the allegations of massive illegal wiretapping under the sponsorship of News Ltd are true, you bet it's possible. What I'm saying is that there's a reasonable and even likely chance that James Murdoch would have known about it. Impressive? As impressive as any self-styled 38-year-old uber-manager type--if that's the type you like.
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ibivi
Jul 10, 09 3:53 PM CDT
They peddle trash and they do trashy things to get it. I hope everybody sues. Murdoch needs a good lesson. Reply
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EdAus
Jul 10, 09 4:16 PM CDT
A great piece Michael. It would be interesting for you to follow up on the overall destruction of news values through Murdoch's gossip addiction, especially in his broadsheet publications. Murdoch's "The Australian" is becoming increasingly thin on news and fat on gossip. A recent anniversary of Errol Flynn was instead written up as the opinions contained in a 10 year old trash tales book and forced the descendants of the actor to comment on the rumours, rather than discuss their plans for the celebration. The Australian newspaper's handling of the recent fictitious Gordon Grech emails in Canberra is also instructive. The whole newsroom seemed to think that there is automatically truth to rumour and a newspaper can be authoritative without checking fact. Murdoch's leadership in news-gossip is cloning Fox's news values throughout his businesses. Reply
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deebles
Jul 10, 09 6:49 PM CDT
Well now he just sounds like J Edgar Hoover. Or Nixon. That makes for a splendid unraveling, since like Hoover or Nixon he thrives on gossip, but unlike Hoover he has no 'justification'. Therefore, like Nixon his drive to know will unknowingly drive him off the rails. And like Nixon all the acolytes who fed his hunger for personal gain will fall. It's physics. Reply
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MichaelWolff
Jul 11, 09 8:58 AM CDT
He is Nixonian, but with perhaps the key difference that he doesn't really care what people think about him.
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deebles
Jul 12, 09 6:47 PM CDT
It's one of the few wicked truths left that you can spend your life caring not a twit what people think about you, until you face the twelve people that you care a great deal what they think about you.
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stever
Jul 11, 09 6:35 AM CDT
When you write about Murdoch you sound like a scorned lover. Reply
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deebles
Jul 12, 09 7:03 PM CDT
Gotta be loved to be scorned. Showing an interest is simple curiosity. A valuable trait is when you can discern without having a pony in the race.
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jamesnws
Jul 11, 09 12:21 PM CDT
In regards to "MichaelWolff Jul 10, 09 3:00 PM CDT" comment. Its not even News Ltd that is being discussed, its News International (FYI - News Limited is the Australian group). but hey, its not like i expected a Murdoch biographer to get simple details like that right. you seriously need to give up on your own gossiping about Rupe. has he brought the NYT yet? twitter? (any other ones you may have dreamt up that i have missed)? Reply
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MichaelWolff
Jul 12, 09 12:08 PM CDT
Oh my, is this James Murdoch posting?
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deebles
Jul 12, 09 6:38 PM CDT
Oh yeah. You poked a live one with that stick, Mr Woolf. The only thing better than pondering an idea is when you get a too-much protest.
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michaelj@qimr.edu.au
Jul 12, 09 11:17 PM CDT
When, in last week’s Crikey Daily Mail before the wiretap story broke [http://www.crikey.com.au/2009/07/08/comments-corrections-clarifications-and-cckups-33/] I joked “Dial M for Murdoch” I was more prescient than imagined! Reply
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WadeTooDeep
Jul 13, 09 11:20 AM CDT
What exactly does a family unraveling look like? Reply
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deebles
Jul 15, 09 1:07 AM CDT
I don't know--maybe the Madoffs?
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Goopie
Jul 13, 09 9:17 PM CDT
I live in hope that the revelations of phone hacking do indeed bring the most dangerous, arrogant and anti society man on the planet to his knees. My instinct though tells me Murdoch will, as usual, successfully bury this story. As alluded to by Mr Wolff, Murdoch has the goods on everyone. He has buried this story once and despite the brave efforts of the Guardian, News will bury the story again. Note the very circumspect reaction of Max Clifford as an example. He knows taking on Murdoch will only bring him a swift and incredibly hostile retribution from a company that operates like the Mafia. So I admire your courage Mr Wolff in your honest portrayal of Murdoch. The world will be an infinitely better place when Murdoch finally buys heaven. Reply
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MichaelWolff
Jul 18, 09 4:49 PM CDT
Perhaps we should start a pool for when then might be. Reply
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