Statement of Robert Thomson, Chief Executive of News Corp, Regarding the Sale of Simon & Schuster to Bertelsmann
News Corp's CEO, Robert Thomson, criticized Bertelsmann's acquisition of Simon & Schuster, suggesting it undermines market competition. He argued the deal would create a dominant force in the U.S. literary market, controlling 70% of the sector. Thomson expressed concerns over the long-term implications for distributors, retailers, and authors, indicating a potential detriment to the industry.
News Corp operates across various media sectors, including digital real estate and book publishing, and focuses on delivering authoritative content globally.
- None.
- Concerns about market dominance impacting competition.
- Potential long-term detrimental effects on distributors, retailers, and authors.
NEW YORK--(BUSINESS WIRE)--News Corp Chief Executive Robert Thomson has commented on ViacomCBS’s announcement regarding the sale of Simon & Schuster to Bertelsmann:
“There is clearly no market logic to a bid of that size - only anti-market logic. Bertelsmann is not just buying a book publisher, but buying market dominance as a book behemoth. Distributors, retailers, authors and readers would be paying for this proposed deal for a very long time to come. This literary leviathan would have 70 percent of the US Literary and General Fiction market. There will certainly be legal books written about this deal, though I wonder if Bertelsmann would publish them.”
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News Corp (NASDAQ:NWS)(NASDAQ:NWSA)(ASX:NWS)(ASX:NWSLV) is a global, diversified media and information services company focused on creating and distributing authoritative and engaging content and other products and services. The company comprises businesses across a range of media, including: digital real estate services, subscription video services in Australia, news and information services and book publishing. Headquartered in New York, News Corp operates primarily in the United States, Australia, and the United Kingdom, and its content and other products and services are distributed and consumed worldwide. More information is available at: http://www.newscorp.com.
