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July 23, 2025

In The Room
Range Rover
Dylan Byers Dylan Byers

Greetings from Los Angeles and welcome back to In the Room. We’re midway through another very busy week in media, from News Corp to Paramount to The Washington Post. In tonight’s issue, more on the latest developments roiling those companies, along with news and notes on The Free Press’s quest for a $200 million-plus exit.

Oh, by the way: Jeff Bezos is not considering an acquisition of CNBC, despite what you may have read in The New York Post. A source familiar with Bezos’s thinking tells me that report is “a complete fiction.”

🍸 Plus, on the latest edition of The Grill Room, I invited Anonymous Banker—a well-informed, incognito media investment banker—to philosophize on Substack’s recent $100 million raise and the staggering $1.1 billion valuation that came with it. We unpacked what it means for the future of the platform as well as the broader implications on the media landscape. Follow The Grill Room on Apple, Spotify, or wherever you prefer to listen.

Mentioned in this issue: Rupert Murdoch, Emma Tucker, Pam Bondi, Jeffrey Epstein, Will Lewis, Matt Murray, Bari Weiss, David Ellison, Brendan Carr, Patrick Soon-Shiong, and many, many more…

Let’s get started…

  • Free Court Press: Bari Weiss is seeking a valuation of at least $200 million for The Free Press amid her deal negotiations with Skydance’s David Ellison, per the Financial Times. The reported ask is ambitious, to say the least, placing a 13x multiple on a digital media business that does around just $15 million in annual subscription revenue. And, as I noted last week, Bari’s politically charged content is unlikely to ever ignite a scalable advertising business, even if her stardom might offer other revenue channels. Presumably, Bari and her new business partner Dennis Berman, a longtime Wall Street Journal editor who went on to briefly become a managing director at Lazard, believe there’s a lot of still-unrealized potential in the business that might conceivably be unlocked through a deal with the likes of Skydance, or any other partner—and good on them if they can find a buyer who feels the same.
  • Ellison’s F.C.C. allowances: Speaking of Skydance, David Ellison has given assurances to Trump’s F.C.C. chairman, Brendan Carr, that he will eliminate D.E.I. initiatives at Paramount after the merger and create a new ombudsman at CBS News to monitor “complaints of bias or other concerns.” This olive branch comes on the heels of the Colbert cancellation, Paramount’s $16 million settlement payment, and Trump’s claim that Skydance is to deliver an additional $20 million in advertising commitments. It will be interesting to see whether Trump and Carr try to extract anything else before this deal closes.

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  • The Post purge: Dozens of Washington Post newsroom veterans and Opinions staff have agreed to take buyouts as Will Lewis and Matt Murray seek to cull the paper’s ranks as part of their long and still-nebulous transformation effort. Meanwhile, Lewis has changed tack on his “third newsroom” newsroom strategy, moving it out of editorial and refocusing it around “personality-driven content and franchises around personalities.” Krissah Thompson, who had been charged with leading the “third newsroom,” is among those taking a buyout.
  • The L.A. Times goes public: Seven years into his notoriously troubled stewardship of the Los Angeles Times, Dr. Patrick Soon-Shiong has announced plans to take the paper public. Under Soon-Shiong, the Times has lost tens of millions in annual revenue, churned subscribers, and cut at least a fifth of its staff. Soon-Shiong says the initial public offering will take place in the next year. In the meantime, the Times is soliciting potential shareholders.
  • Change of Fortune: And finally, while we’re on the dismal subject of layoffs, Fortune C.E.O. Anastasia Nyrkovskaya has announced a 10 percent reduction of staff, citing “the onset of A.I., the resulting decline of website traffic trend, and the rise of audio and video as popular formats.” As I noted back when Business Insider implemented its own 21 percent staff reduction for similar reasons, the entire industry is being forced to shrink and rightsize—hopefully, in some cases, for the better. In the platform era, when consumers create their own content mixes, the very notion of a “newsroom” is increasingly anachronistic.

And now, the main event…

Only Murdoch in the Building

Only Murdoch in the Building

After successfully shaking down Disney and Paramount, Trump has targeted The Wall Street Journal, whose proprietor may not roll over so easily.

Dylan Byers Dylan Byers

Last week, about 48 hours before The Wall Street Journal published its exclusive report on the “bawdy” birthday letter that President Trump sent to Jeffrey Epstein, the president put in a call from Air Force One to the Journal’s editor-in-chief, Emma Tucker, to try to kill the story. On the call, an obviously miffed Trump offered the categorical on-the-record denial that would appear in the report—“This is not me. This is a fake thing. It’s a fake Wall Street Journal story,” etcetera—as well as his legal threat: “I’m gonna sue The Wall Street Journal just like I sued everyone else,” he said.

On Friday, Trump kept his word, suing not just the Journal, but the two reporters who wrote the story—Khadeeja Safdar and Joe Palazzolo—as well its publisher, Dow Jones; Dow Jones’s parent company, News Corp; and, most notably, its proprietor, News Corp chairman emeritus Rupert Murdoch, for defamation. On Monday, the White House blocked the Journal from the press pool covering the president’s trip to Scotland. In a statement, Dow Jones said it had “full confidence in the rigor and accuracy of our reporting” and has vowed to “vigorously defend against any lawsuit.” On Wednesday, the Journal followed up with another instantly viral report, which revealed that Attorney General Pam Bondi had told the president in May that his name appeared multiple times in the Epstein files.

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In addition to betraying his obvious sensitivity to the Epstein story, Trump’s lawsuit against Murdoch, the Journal, et al. is the latest in what The Economist has rightly described as an attempt “to enforce a kind of lèse-majesté rule against the American media.” Disney and Paramount have each coughed up $16 million to avoid protracted legal battles with this White House, and Trump has said that he anticipates another $20 million in advertising commitments from Skydance, as well as a pledge to eliminate D.E.I. initiatives, once it secures Paramount.

In an intriguing plot twist, Murdoch—also the proprietor of the very Trump-friendly Fox News—may prove to be the one media executive with the stomach to stand up to the president. As sources at the Journal, News Corp, and the broader Murdoch universe reminded me this week, the 94-year-old media titan is a different kind of defendant. He’s not managing a multifaceted, $200 billion media and parks conglomerate through a precarious transformation, à la Bob Iger, nor is he in the sad and desperate position of Shari Redstone, whose need for F.C.C. approval of the Paramount-Skydance deal represented a nearly existential threat. Meanwhile, Trump has carefully compartmentalized his lawsuit, so as to avoid going to war with Fox News, a move that could backfire with his supporters.

Instead, Murdoch, the nation’s last real press baron, has the resources, the freedom, and the fortitude to wage a legal fight with the president—to “sack the fuck up,” as Jon Stewart put it while admonishing institutions for their fearful capitulation to the president. A few sources posited that Murdoch, whose diplomacy with Trump has never fully masked his disdain, might relish the fight. “I don’t think he has any intention of settling,” one high-level source in Murdoch World told me. “Why would he?”

Of course, Trump’s suit may very well not go that far. As my partner Eriq Gardner has noted in his excellent analysis of the case, Trump’s suit is weak. First, it fails to explain why the Journal story is either defamatory or malicious. Second, in filing the suit as quickly as he did, Trump may have violated the Florida provision requiring plaintiffs to give a five-day notice before filing suit. And, most obviously, as Eriq notes, a legal fight over an Epstein story would almost certainly expose Trump to “sustained, sworn scrutiny of his relationship with the convicted sex offender”—exactly the sort of scrutiny Trump appears so incredibly desperate to avoid. “The most likely outcome is that this just goes away,” a News Corp source said.

In the meantime, Trump’s lawsuit has at least succeeded in making life just a bit harder for the Journal, where, I’m told, every Trump-related article is now subject to additional editorial oversight and legal review. The irony here—not lost on Journal editors and reporters—is that the story in question was hardly a smoking gun, and would’ve had far less of an impact had Trump not elected to turn it into a national controversy. In any event, the Journal has no intention of going any softer on the president in light of the lawsuit, and the broad sentiment in the newsroom is that Rupert will have their backs, mainly by allowing them to continue their work without interference from above. As for getting kicked off the press pool, one reporter said, “I’m pretty sure we’ll survive.”

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