Fox Business Will Cover The Green, But Initially Will See Mostly Red Ink

Lost in the headlines of last week's launch of the Fox Business network was one of typical side effects of a new cable network debut: red ink. In a shareholder meeting, News Corp CEO Rupert Murdoch said he expected Fox Business to lose around $70 million its first year, and some $150 million to $200 million over its first three years of operation.

Fox Business News kicked off with a bunch of advertisers for its nearly 25 million-subscriber launch. But those media buys came without any specific ratings guarantees since the network is not expected to get viewing data from Nielsen Media Research until next year.

Analysts say it's hard to judge how Fox Business performed with its limited distribution - or its effect on financial news competitor, NBC Universal's CNBC.

Gauged on a total day-basis from 6 a.m. to 6 p.m., CNBC lost about 10% of its total viewers from Monday through Thursday, October 15-18. But analysts say it's hard attribute that directly to the debut of Fox Business.

Murdoch also addressed the issue of recent acquisition Dow Jones & Co., tossing off CNBC, a advertising of Dow Jones, from its WallStreetJournal.com and Marketwatch.com websites.

While he didn't give the direct order, he said it is common for competing broadcast networks not to advertise on each other's airwaves. He did note the late move by Dow Jones may have seemed "heavy-handed."

Next story loading loading..