Neil Cavuto Romances Rupert Mudoch, Investors Get Screwed

The News Corporation released their quarterly earnings yesterday after the market closed. On the surface there was good news as News Corp beat the estimates of analysts. So Rupert Murdoch visited his own studio to be interviewed by his employee, Neil Cavuto.

Cavuto introduced the segment with a bootlicking recitation of the financial powerhouse that is News Corp. It was a gloating exercise that portrayed News Corp as the savior of the economy and even attempted to recruit viewers to some sort of News Corp pep squad, suggesting that they…

“…count yourself maybe a News Corp booster. The parent company of this fine network, 20th Century Fox, HarperCollins, and on and on, reporting much, much, much, better than expected earnings in the latest period that dwarf well past some of the estimates in there.”

The problem is that, in this eleven minute interview (25% of his program), Cavuto and Murdoch glossed over the most important part of the earnings announcement, so far as investors are concerned – the outlook going forward. As it turns out, News Corp actually issued a warning that they would fail to meet earnings expectations in the next quarter. This information was divulged in the conference call with analysts, but Fox News viewers wouldn’t hear it. Consequently, if you were relying Fox for accurate reporting on the News Corp earnings, you would have lost a pile of money this morning as their stock plummeted six percent.

Watching this spectacle of Cavuto and Murdoch grinning and lying to viewers about the prospects for News Corp’s stock you can’t help but wonder if they crossed a line into deliberately misleading shareholders. Why wouldn’t they? Misleading their viewers is their core competency. If it isn’t weapons of mass destruction or death panels, it’s their stock performance. And when Cavuto got around to asking Murdoch what was driving the company’s unparalleled “success,” Murdoch detoured entirely away from economics to his political obsession:

“Well, as far as Fox News goes it’s very simple. It’s very powerful, it’s very good, and it’s very balanced. And everybody else, every newspaper other than ours, it may be an over-generalization, but by far the most newspapers, and certainly the other television networks, are sort of all on one side, the liberal side of anything. I think the population of this country is pretty worried about its direction and, you know, they turn to Fox News.”

See that? News Corp is successful because of the liberal media. Not because they gouged cable operators for higher subscriber fees and favorable channel placement. Not because of the one-time phenomenon of a little movie called Avatar. Not because of the monopolistic domination they enforce in media markets around the world. But I will agree with Murdoch on his last point, that the population of this country is pretty worried. However, that isn’t why they turn to Fox News, it’s BECAUSE they turned to Fox News. Anyone who watches Fox, and is foolish enough to believe what the see, is a prime candidate for an anxiety attack or an aneurysm.

It is also interesting that Murdoch conducted his interview with Cavuto on the Fox News Channel. Cavuto is also the anchor and Senior VP for Murdoch’s struggling Fox Business Network. But when Murdoch decided to make a television appearance to discuss his company’s earnings, he chose not to visit his own financial news network. Cavuto was reduced to playing the FNC tape on his FBN show. Does that say something about Murdoch’s commitment to FBN?

More Proof That No One Pays Attention To Fox News

For several years now, Fox News has been trying to vilify the word “progressive” by using it disparagingly and associating it with people or policies they regard negatively.

It started with Bill O’Reilly making repeated references to what he called secular progressives. These were the folks he accused of waging a war on Christmas and weakening family values. They are the reason he became a Culture Warrior.

More recently, Glenn Beck has mounted a full-on assault against progressives, whom he has called a cancer on America. Virtually every episode of his Acute Paranoia Revue makes reference to one or another of his imaginary progressive bogeymen – from the classics like Woodrow Wilson, to the modern like SEIU and, of course, President Obama himself.

Pew WordsDespite all the firepower that Fox has devoted to this progressive bashing, America isn’t buying it. The Pew Research Center just released a study that asked respondents to say whether they had a positive or negative view of a variety of terms. About two thirds (68%) said that they have a positive reaction to the term “progressive.” That’s 16 percentage points higher than those who reacted positively to “capitalism.” Even a majority of Republicans (56%) have a positive impression of the curse of progress.

I wonder what Beck and O’Reilly would say if they were honest enough to even acknowledge that the survey exists. It would also be interesting to hear their response to the fact that 29% of Americans view “socialism” positively. On the not-particularly-surprising scale, 36% of Republican men like militias. That’s the highest favorable of any of the groups surveyed. It compares to just 21% of all respondents.

The bottom line is that Fox News may be exhausting themselves in their campaign to denigrate progressives and liberals and Democrats, but they are failing miserably as the nation proves to be smarter than the idiots at Fox had assumed. This is just their latest failure having previously been unable to thwart Democrats from taking control of Congress, winning the presidency, or passing health reform. So while they may make a lot of noise as they pump their propaganda into the atmosphere, they aren’t changing any minds. It’s rather comforting to know that instead of being effective and persuasive, they are just being annoying as hell. I can live with that.

Glenn Beck Attacks Mother’s Day And Teddy Bears

I have long anticipated the mental implosion of Glenn Beck. He is an obviously disturbed individual who seems to be constantly on the brink of a psychological collapse. But I always thought it would come in the form of an Apocalyptic dissent into a religio-political abyss. Instead, it came as he was supposed to be speaking on behalf of a sponsor for his radio show. In this ad for the Vermont Teddy Bear Company, Beck tells his listeners that he hates Mother’s Day and that it was a scam hatched by Woodrow Wilson. Check it out:

    Transcript: Our sponsor this half hour is the Vermont Teddy Bear Co. Vermont Teddy Bear is getting ready for Mother’s Day weekend. Can you believe Mother’s Day week? By the way, Sarah and I were talking on Saturday and she didn’t believe me, or it was on Friday, and she didn’t believe me. And I said, Mother’s Day, it’s a scam. It’s a big business scam. And I said, I bet it was started by Woodrow Wilson.

That was the intro to the spot for Vermont Teddy Bears. They must be pleased with how their ad dollars are being spent. In the radio business, advertisers pay extra for on air testimonials by the program host. Vermont Teddy Bear is sure getting their money’s worth.

Let’s face it…..The real reason Beck went off on this Mother’s Day sponsor is that these teddy bears come from the People’s Republic of Vermont. Beck considers Vermont a socialist mecca that should be cast out of the United States. It is, after all, the home state of the socialist Senator Bernie Sanders. And if that’s not bad enough, the teddy bear got it’s name from President Teddy Roosevelt. Beck thinks that Roosevelt and Wilson are progressives and that progressives are a cancer on America.

Glenn Beck Mothers Day Scam

These subversive plush toys have to be taught a lesson. We can no longer sit by idly while they debase our mothers and indoctrinate our children with their fluffy Marxist plots. Thank God Beck is on alert to protect us from the evil of stuffed animals and to warn us of the dastardly schemes of “big businesses” like the International Vermont Teddy Bear Syndicate that controls the world economy. As long as he’s keeping watch, we don’t have to worry that small voices like his and the tiny media shop he works for, Fox News, will fade away.

Phil Griffin Of MSNBC ♥’s Roger Ailes Of Fox News

Roger AilesPhil Griffin, president of MSNBC, was interviewed by the Chicago Tribune and provided an outstanding example of the sort of clueless, illogical, journalistic myopia that is rotting away the American press. When asked about his rival Roger Ailes at Fox News, he gave an almost fawning response that makes one wonder if they are really rivals at all.

“He’s changed media. Everybody does news differently because Roger’s changed the world. Roger early on figured it out and was brilliant.”

Indeed. Roger Ailes changed media – for the worse! His “brilliant” idea was to transform the news into a rancorous, talk-radio style, shoutfest that manufactured conflict and spun every story as far to the right as their ideological wheel could turn. The inspiration behind Fox’s brand loyalty is talk-radio, soap operas, and tabloid news vendors like the National Enquirer, a pseudo-news enterprise that is deliberately dishonest, but enjoys the rabid devotion of an undiscerning audience that is drawn to gossip, drama, and salaciousness. Fox is an entertainment company, not a news provider, as they have said themselves:

Roger Ailes: I’m not in politics, I’m in ratings

Rupert Murdoch: I’m not averse to high ratings.

Glenn Beck: I could give a flying crap about the political process. […] We’re an entertainment company.

If Griffin really believes that his mission is to emulate Fox from the opposite end of the political spectrum, he will only succeed in further debasing the media. In addition, he will miss the opportunity to effectively compete in the cable news marketplace. He needs to realize that, not being a news network, Fox is no more his competition than is Nickelodeon (which I’ve said before is a better source than Fox for news and plays to a smarter audience).

Griffin is not the only news professional to misread the market. Almost every executive and analyst has concluded that Fox’s ratings dominance is a function of ideology. But that is a shallow analysis that fails to address the real problem. People need to stop thinking of Fox as a network of conservatives that you counter with a network of liberals. The reality is that Fox is a network of liars that you counter with a network of truth tellers.

This approach doesn’t imply partisanship to anything other than facts. It also does not swear a blind allegiance to the thoroughly misconstrued concept of balance. A responsible journalist is under no obligation to balance a set of facts with a litany of lies just so that some other perspective is represented. Furthermore, it doesn’t mean you need to resign yourself to a bland presentation of the events of the day. Important things are going on. No one can dismiss the inherent drama that is played out in the public debates over health care or immigration or Wall Street corruption. It doesn’t need to be contrived. It just needs to be told compellingly and honestly. I am convinced that there are more people in the TV audience who want useful, factual information, than there are people who want sobbing rodeo clowns drawing their divinely inspired delusions on blackboards.

If Griffin were to apply basic fundamentals of entertainment to a more journalistically ethical approach he could attract a much larger and more loyal audience. He needs to give news consumers a little more credit for being discriminating, skeptical, curious, and capable of understanding the issues that bear directly on their lives. The last thing we need is more of the cheapening of journalism that Ailes has proffered. And we certainly should not be honoring him for the damage he has already done.

Barack Obama’s Message To Glenn Beck And Rush Limbaugh Fans

President Obama gave the commencement speech at the University of Michigan in Ann Arbor today. In the course of his remarks he addressed “today’s poisonous political climate” and his prescription for “a vibrant and thriving news business.” It was a refreshing alternative to the adversarial ravings that dominate contemporary media. The President was characteristically fair and balanced. He began by relating his experience with mail he received from a kindergarten class in Virginia:

“The student asked, ‘Are people being nice?’ Well, if you turn on the news today – particularly one of the cable channels – you can see why even a kindergartner would ask this question. We’ve got politicians calling each other all sorts of unflattering names. Pundits and talking heads shout at each other. The media tends to play up every hint of conflict, because it makes for a sexier story – which means anyone interested in getting coverage feels compelled to make the most outrageous comments.”

I have nothing to add to that. The President’s remarks perfectly frame a serious deficiency in today’s press. Here are some more excerpts that speak to some of the most divisive elements of the media, and particularly the cable news sector that is so riven with rancor and falsehoods.

“Throwing around phrases like ‘socialist’ and ‘Soviet-style takeover’ ‘fascist’ and ‘right-wing nut’ may grab headlines, but it also has the effect of comparing our government, or our political opponents, to authoritarian, and even murderous regimes.”

“…this kind of vilification and over-the-top rhetoric closes the door to the possibility of compromise. It undermines democratic deliberation. It prevents learning – since after all, why should we listen to a ‘fascist’ or ‘socialist’ or ‘right wing nut?’ It makes it nearly impossible for people who have legitimate but bridgeable differences to sit down at the same table and hash things out. It robs us of a rational and serious debate that we need to have about the very real and very big challenges facing this nation. It coarsens our culture, and at its worst, it can send signals to the most extreme elements of our society that perhaps violence is a justifiable response.”

On this point, Obama may need to reflect on what he considers a “bridgeable difference.” The people calling him a fascist and a socialist are not behaving rationally and have no intention of hashing things out. They are devoted to disseminating their brand of dishonest extremism and are well aware of the potentially violent signals they are sending. This is a blind spot for the President who still believes that he can orchestrate a post-partisan political environment. As he continues he returns to more solid footing and unveils his advice for smoothing America’s ruffled feathers.

“Today’s twenty-four seven echo chamber amplifies the most inflammatory soundbites louder and faster than ever before.”

“Still, if you’re someone who only reads the editorial page of The New York Times, try glancing at the page of The Wall Street Journal once in awhile. If you’re a fan of Glenn Beck or Rush Limbaugh, try reading a few columns on the Huffington Post website.”

The interesting thing about that last quote is that while the President was able to make a contrasting comparison newspaper to newspaper (New York Times to Wall Street Journal), he was unable to do the same for the radio/TV personalities, Glenn Beck and Rush Limbaugh. He had to resort to naming a web site (Huffington Post) for contrast. That illustrates a fundamental ideological imbalance in broadcast media.

In addition to that imbalance, it is also notable that readers of the New York Times are far more likely to have a broader and more diverse range of news sources than Beck and Limbaugh fans. So the president’s advice to expand one’s range of news sources is less necessary for liberals because they probably already have exposure to conservative media. And the advice is less effective for conservatives because they aren’t likely to step out of their right-wing news bubble anyway. There was ample evidence of that in a recent study that showed that 63% of Tea Baggers rely on Fox News as their primary news source, compared to 23% of the population at large. That’s a pretty narrow scope of vision. By the way, Fox News, as it often does, chose not to broadcast Obama’s speech.

Finally, Obama touched on one of the aspects of the hostility in public debate that has long been a big concern for me:

“I understand that one effect of today’s poisonous political climate is to push people away from participation in public life. […] That’s when power is abused. That’s when the most extreme voices in our society fill the void that we leave. That’s when powerful interests and their lobbyists are most able to buy access and influence in the corridors of Washington.”

What Obama left out is that that’s one of the intentions of poisoning the political climate. Most people think that that sort of negativity is just an attempt to shape an argument, albeit a clumsy and distasteful attempt. But in reality the purpose is to turn people off and dissuade them from participating. From a strategic standpoint you can have greater influence (at less cost) if you can shrink the pool of people you are trying to manipulate. Remember that the next time you see a negative campaign ad.