Fox Corp. has agreed to acquire the celebrity gossip brand TMZ from AT&T’s WarnerMedia.
While terms were not released, multiple news outlets have reported that its value is under $50 million — including a Wall Street Journal report that put it between $100 million and $125 million.
In addition to websites including TMZ and TooFab.com, Fox will acquire the brand’s TV shows and Los Angeles-based tour bus business.
Fox’s in-house syndication unit, Fox First Run, will oversee sales for TMZ. Fox said it will seek to “further market and monetize the TMZ brand across its station group; ad-supported streamer, Tubi; and other Fox-owned platforms.”
TMZ is the latest in a series of AT&T asset sales since John Stankey became CEO in 2020, as the company shifts focus to the streaming business. The talks with Fox about TMZ began before AT&T’s 2021 announcement that it will spin off WarnerMedia in a merger with Discovery Inc.
TMZ’s reporting on celebrities who have relationships with other units within WarnerMedia created internal tensions, which should be less of an issue at Fox — in part because of its greater emphasis on sports and unscripted fare, said Fox Business.
Fox’s local stations already carry the “TMZ” and “TMZ Live” shows. TMZ has also produced specials for Fox’s entertainment unit, including "Harry & Meghan: The Royals in Crisis," "UFOs: The Pentagon Proof," and a sports gossip show carried by the Fox Sports 1 cable network.
TMZ co-founder and managing editor Harvey Levin, who will continue to run TMZ’s day-to-day operations, has produced shows for the Fox News channel.