Murdoch’s closest adviser quits News Corp and his private company

Lachlan Murdoch’s closest adviser, Siobhan McKenna, is retiring from both News Corp and from his private investment company, which owns radio company Nova, sensationally ending a two-decade professional relationship.

McKenna, who is considered the most influential figure within the News Corp stable in Australia, had her official duties as CEO of broadcasting reduced after she steered through the sale of Foxtel earlier this year to British streamer DAZN. She remained chair of both Sky News Australia and Nova, via Murdoch’s private investment vehicle Illyria, but is now relinquishing both positions.

“Her decision, as it is her decision, is essentially epochal as Siobhan has been a transformational force during her years with News Corp,” global News Corp boss Robert Thomson said in a note to staff on Thursday morning.

“She leaves a luminous legacy, and will be missed by me and by all those who have had the privilege of her presence.”

While it was initially understood McKenna would continue to oversee Murdoch’s private investment firm, which owns Nova, it was later confirmed she is giving up her posts at Illyria and the radio network.

McKenna was profiled by Good Weekend last week. She will officially retire from her position at News on December 31. She remains chair of Australia Post.

With the Foxtel sale completed, leaving Sky the only unit left in News Corp’s Australian broadcasting operations, McKenna wanted to move away from day-to-day operations and instead focus on director positions, a source with knowledge of the decision, but not authorised to speak publicly, said.

News Corp’s Australian accounts were published late on Wednesday, showing a drop in both print advertising revenue and in circulation and subscription revenue. News posted a net loss after tax of $27.4 million for the year.

McKenna has been Lachlan Murdoch’s closest corporate ally for two decades, coming on as a founding partner of Illyria, which initially took stakes in a number of companies including Prime Media Group, Nova and Network Ten.

In 2017, she was appointed chief executive of broadcasting, coming into the News Corp organisation for the first time. She was charged with overseeing three challenged businesses – Foxtel, Fox Sports and Sky News Australia.

McKenna was central to the merger of Fox Sports and Foxtel, helping launch the digital sports streamer Kayo and striking a new carriage deal between Foxtel and Sky, opening the door to millions in extra annual funding for the conservative news channel.

During her time in the role, she and Foxtel boss Patrick Delany also successfully launched Binge, to help offset costly content deals amid declining cable revenues. Earlier this year, Foxtel’s sale to DAZN was completed.

McKenna was initially viewed as the ideal News Corp representative to join DAZN’s board following the Foxtel sale, with the Murdoch-controlled company taking a 6 per cent stake. However, News Corp ultimately put forward its deputy chief financial officer Andrew Cramer, who is based in New York, for the role.

Thomson called McKenna irreplaceable in his note on Thursday morning.

“The word ‘visionary’ is often abused, but not in Siobhan’s case, as her ability to perceive the future from haze-shrouded shapes on the horizon is nonpareil,” he said.

McKenna was previously chair of the National Broadband Network, and was selected by the Albanese government to be chair of Australia Post in 2022.

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