Murdoch: C5 To “Start Off Crippled”

Mr Rupert Murdoch, the Chairman of News Corporation, said he did not care if the government introduced new rules limiting an individual media owner’s share of the total marketplace to 15 per cent. Mr Murdoch accused his critics of paranoia and suggested that there was something wrong with Britain.

Mr Murdoch was speaking on BBC2’s Money Programme, days before the government is due to produce proposals for ownership rules that would allow greater flexibility of ownership between print, radio, and television but set overall limits of market share.

When confronted with the question of the low bid for Channel 5, Mr Murdoch described the £2m figure as a “grudging compromise” and said “management were very keen on bidding”. He personally believes the channel will “start off crippled” (a reference to its coverage not extending to the whole country), and added: “It’s going to be very hard for Channel 5 to be a commercial success”.

He felt that greater attention should instead be given to the development of Channel 4.

Mr Murdoch was asked whether there was room for all current broadsheets. He replied that “the Daily Mirror and Dr O’Reilly can afford to carry the Independent”, but went on to say that, in the long term, The Independent must be viable. He believes it will find a niche, and that advertisers will support it based on that niche.

Mr Murdoch’s rare interview comes at a time when criticism of his domination of British media is rife.

He was clearly annoyed, but unworried by his negative press.