Friday, June 1, 2007
The Art of Content War: The Bancrofts and Murdoch Consider Rewarding Patience
Two weeks ago when we covered the offer by Rupert Murdoch to have NewsCorp take over ownership of Dow Jones there was plenty of froth from the Bancrofts and some media pundits that this was a "no way" proposition, making us just a little nervous about our bullishness on the deal. Two weeks later the Bancroft family has issued their own press release independent of Dow Jones to indicate their intent to provide Dow Jones with new ownership and that they are willing to speak with News Corp as a potential suitor. Murdoch's patience and low-key approach seem to have brought him at least to a place at the table, if not one fully welcomed, as the Bancrofts seem to have concurred with our earlier conclusion that this is the right time to make a sale. While there is always the potential for a surprise bid from the wings it's probable that whatever solicitations the Bancrofts initiate for alternative offers will be more to provide emotional and intellectual backing to the very likely consummation of a deal with News Corp. Investor's Business Daily noted earlier regarding this deal the ancient Chinese military strategist Sun Tzu's writing that exercising patience often leads to victory in war. Perhaps the patience of both the Bancrofts and Murdoch are about to be rewarded with equal measure.