Fox Stock

Fox Corporation (FOX) operates as a news, sports and entertainment company.

FOX produces and delivers compelling news, sports and entertainment content through its primary iconic brands, including FOX News Media, FOX Sports, FOX Entertainment and FOX Television Stations, and leading AVOD (advertising supported video-on-demand) service TUBI. The company, with a simple structure focused on two principal reporting segments, differentiates itself in a crowded media and entertainment marketplace through the leadership positions of the company's brands and premium programming that focus on live and ‘appointment-based’ content, a significant presence in major markets, and broad distribution of the company's content across traditional and digital platforms.

Segments

The company operates through Cable Network Programming, Television, and Other, Corporate and Eliminations segments.

Cable Network Programming, which produces and licenses news and sports content distributed through traditional cable television systems, direct broadcast satellite operators and telecommunication companies (traditional MVPDs), virtual multi-channel video programming distributors (virtual MVPDs) and other digital platforms, primarily in the U.S.

Television, which produces, acquires, markets and distributes programming through the FOX broadcast network, advertising supported video-on-demand (AVOD) service TUBI, 29 full power broadcast television stations, including 11 duopolies, and other digital platforms, primarily in the U.S. Eighteen of the broadcast television stations are affiliated with the FOX Network, 10 are affiliated with MyNetworkTV and one is an independent station.

Other, Corporate and Eliminations, which principally consists of the FOX Studio Lot, Credible Labs Inc. (Credible), corporate overhead costs and intracompany eliminations. The FOX Studio Lot, located in Los Angeles, California, provides television and film production services along with office space, studio operation services and includes all operations of the facility. Credible Labs Inc. is a U.S. consumer finance marketplace.

Strategies

The company’s strategies are to maintain leading positions in live news, live sports and quality entertainment; increase revenue growth through the continued delivery of high quality, premium and valuable content; and expand its digital distribution offerings and direct engagement with consumers, increasing complementary sources of revenues.

Cable Network Programming segment

The Cable Network Programming segment produces and licenses news, business news and sports content for distribution through traditional and virtual MVPDs and other digital platforms, primarily in the U.S. The businesses in this segment include FOX News Media (which includes FOX News and FOX Business) and the company’s primary cable sports programming networks FS1, FS2, the Big Ten Network and FOX Deportes.

FOX News Media

FOX News Media includes the FOX News and FOX Business networks and their related properties. FOX News is the top-rated national cable news channel in both Monday to Friday primetime and total day viewing. FOX News also finished calendar year 2021 as the #1 cable network in Monday to Friday total day viewing among the key Adults 25-54 demographic, as well as the #1 cable network in Monday to Friday primetime and total day viewing among total viewers for the sixth consecutive year. FOX Business is a business news national cable channel. For the quarter ended June 30, 2022, FOX Business was the #1 business network in business day and market hours among total viewers. FOX News also produces a weekend political commentary show, FOX News Sunday, for broadcast on the FOX Television Stations and stations affiliated with the FOX Network throughout the U.S. FOX News, through its FOX News Edge service, licenses news feeds to affiliates to the FOX Network and other subscribers to use as part of local news broadcasts primarily throughout the U.S. FOX News also produces FOX News Audio, which licenses news updates, podcasts, and long-form programs to local radio stations and to mobile, Internet and satellite radio providers.

FS1

FS1 is a multi-sport national network that features live events, including regular season and post-season MLB (Major League Baseball) games, National Association of Stock Car Auto Racing (NASCAR), college football, college basketball, the FIFA (Fédération Internationale de Football Association) Men's and Women's World Cup, Major League Soccer (MLS), UEFA Euro, UEFA Nations League, Concacaf and CONMEBOL soccer and horse racing. In addition to live events, FS1 features original programming from FOX Sports Films, studio programming, such as NASCAR Race Hub and opinion shows, such as Skip and Shannon: Undisputed and The Herd with Colin Cowherd.

FS2

FS2 is a multi-sport national network that features live events, including NASCAR, collegiate sports, horse racing, rugby, world-class soccer and motor sports.

FOX Sports Racing

FOX Sports Racing is a 24-hour video programming service consisting of motor sports programming, including NASCAR events and original programming, National Hot Rod Association (NHRA), motorcycle racing and horse racing. FOX Sports Racing is distributed to subscribers in Canada and the Caribbean.

FOX Soccer Plus

FOX Soccer Plus is a premium video programming network that showcases exclusive live soccer and rugby competitions, including events from FIFA, UEFA, Concacaf, CONMEBOL, Super Rugby League, Australian Football League and the National Rugby League.

FOX Deportes

FOX Deportes is a Spanish-language sports programming service distributed in the U.S. FOX Deportes features Spanish-language coverage of a variety of sports events, including premier soccer (such as Liga MX and Copa MX, Tijuana Xolos, Rayados de Monterrey and Santos Laguna home matches, MLS, and Liga de Honduras), MLB (including regular season games and the National League Championship Series in 2022 and the All-Star and World Series games), NASCAR Cup Series, college football and WWE Smackdown. In addition to live events, FOX Deportes features multi-sport news and highlight shows and daily studio programming. FOX Deportes is available to approximately 15.1 million cable and satellite households in the U.S., of which approximately 3.6 million are Hispanic.

The Big Ten Network

The Big Ten Network is a 24-hour national video programming service dedicated to the collegiate Big Ten Conference and Big Ten athletics, academics and related programming. The Big Ten Network televises live collegiate events, including football games, regular-season and post-season men's and women's basketball games, and men's and women's Olympic events (including wrestling, volleyball and ice hockey), as well as a variety of studio shows and original programming. The Big Ten Network also owns and operates B1G+, a subscription video streaming service that features live streams of non-televised sporting events, replays of televised and streamed events, and a large collection of classic games and original programming. The company owns approximately 61% of the Big Ten Network.

Digital Distribution

The company also distributes programming through its branded websites, apps and social media accounts. It licenses programming for distribution through MVPDs' websites and apps. The company's websites and apps provide live and/or on-demand streaming of network-related programming primarily on an authenticated basis to allow video subscribers of the company's participating distribution partners to view company content via the Internet. These websites and apps include the websites FOXNews.com, FOXBusiness.com, FOXWeather.com, FOXSports.com, FOXDeportes.com, theUSFL.com and OutKick.com and the FOX News, FOX Business, FOX Weather, FOX Sports and FOX Deportes mobile apps. FOX News Media also operates direct-to-consumer services. FOX Nation is an SVOD (subscription video-on-demand) service that offers the U.S. consumers a variety of on-demand content, including original programming from popular opinion hosts, and FOX Weather, a free advertising-supported streaming service that launched in October 2021, offers local, regional and national weather reporting in addition to live programming. The Big Ten Network distributes programming through the B1G+ subscription video streaming service. The company also distributes non-authenticated live-streaming and video-on-demand content, podcasts, as well as static visual content, such as photography, artwork and graphical design across FOX-branded social media, third party video and audio platforms.

Outkick Media

The company owns Outkick Media LLC (Outkick Media), a digital media company focused on the intersection of sports, news and entertainment.

USFL

FOX Sports founded and launched the United States Football League (USFL) in April 2022. The USFL is a professional spring football league with eight teams playing a 40-game regular season schedule in addition to two playoff games and a championship game. Under multi-year rights agreements, FOX Sports and NBC Sports are the domestic distribution partners of the USFL games.

Competition

FOX News Media: FOX News' primary competition comes from the broadcast networks' national news divisions and cable networks CNN, HLN and MSNBC. FOX Business' primary competition comes from the cable networks CNBC and Bloomberg Television. FOX News and FOX Business also face competition online from CNN.com, NBCNews.com, NYTimes.com, CNBC.com, Bloomberg.com, Yahoo.com and The Wall Street Journal Online, among others.

FOX Sports: On a national level, the primary competitors to FS1, FS2, and the Big Ten Network are ESPN, ESPN2, TNT, TBS, USA Network, CBS Sports Network, league-owned networks (such as NFL Network, NHL Network, NBA TV and MLB Network), and collegiate conference-specific networks, such as the SEC Network, Pac-12 Network and ACC Network. FS1, FS2, and the Big Ten Network also face competition online from ESPN+, Peacock, Amazon Prime Video, Apple TV+, Paramount+, DAZN, Yahoo Sports, Facebook, Twitter, ESPN.com, nbcsports.com, Bleacherreport.com and CBSSports.com, among others. Additionally, MVPDs (collectively traditional MVPDs and virtual MVPDs) and online and social media properties, such as Amazon, Apple, Yahoo Sports, Facebook and Twitter compete with the company's cable sports networks by acquiring and distributing sports content to their online users.

Television segment

The Television segment produces, acquires, markets, and distributes programming through the FOX broadcast network, the TUBI AVOD service, broadcast television stations and other digital platforms, primarily in the U.S.

FOX Television Stations

FOX Television Stations owns and operates 29 full power broadcast television stations, which deliver broadcast network content, local news and syndicated programming to viewers in 18 local markets. These include stations located in 14 of the top 15 largest DMAs and two stations (referred to as duopolies) in each of 11 designated market areas (DMAs), including the three largest DMAs (New York, Los Angeles and Chicago). In two of the duopoly markets, FOX Television Stations is channel sharing whereby both of its stations in the market operate using a single 6 MHz channel. Of the 29 full power broadcast television stations, 18 stations are affiliated with the FOX Network. These stations leverage viewer, distributor and advertiser demand for the FOX Network's national content.

In addition, the FOX Network's strategy to deliver fewer hours of national content than other major broadcasters benefits stations affiliated with the FOX Network, which can utilize the flexibility in scheduling to offer expanded local news and other programming that viewers covet. The company’s 29 stations collectively produce approximately 1,200 hours of local news coverage every week. In addition, FOX Television Stations owns and operates 10 stations broadcasting programming from MyNetworkTV. Fox Television Stations also operates FOX Soul, an advertising supported video-on-demand service dedicated to the African American viewer that features original and syndicated programming, and LiveNOW from FOX, a free, advertising supported streaming service offering 24/7 live news coverage. In addition, FOX Television Stations offers local programming through websites and mobile apps associated with the stations.

The FOX Network

The FOX Network is a premier national television broadcast network, renowned for disrupting legacy broadcasters with powerful sports programming and appealing primetime entertainment. The FOX Network regularly delivers approximately 15 hours of weekly primetime programming to 208 local market affiliates, including 18 stations owned and operated by the company, covering approximately 99.9% of all U.S. television households, according to Nielsen. The FOX Network primetime lineup is intended to appeal primarily to the 18 to 49 year old audience, the demographic group that advertisers seek to reach most often, with particular success in the 18 to 34 year old audience. The FOX Network has ranked among the top two networks in the 18 to 34 year old audience for the past 27 broadcast seasons. During the 2021-2022 broadcast season, the FOX Network ranked #2 in the 18 to 49 year old audience and #1 across key advertiser demographic groups, including the 18 to 34 year old audience (based on Nielsen's live+7 ratings). The FOX Network programming ranked #2 among all broadcast network primetime programming for the 2021-2022 broadcast season in the 18 to 49 year old audience (based on Nielsen's commercial+7 ratings). The median age of the FOX Network viewer is 57 years, as compared to 61 years for ABC Television Network (ABC), 60 years for NBC and 64 years for CBS.

FOX Sports

A significant component of FOX Network programming consists of sports programming, with the FOX Network providing to its affiliates during the 2021-2022 broadcast season live coverage of the NFL, including the premier NFC rights package, America's Game of the Week, the #1 show on television, and Thursday Night Football. The FOX Network also provides live coverage of MLB (including the post-season and the World Series), college football and basketball, the NASCAR Cup Series (including the Daytona 500), MLS and weekly episodes of WWE Friday Night SmackDown. In certain years, FOX Sports broadcasts the Super Bowl and the FIFA World Cup. In 2021, FOX Sports entered into an expanded 11-year media rights agreement with the NFL that has extended FOX Sports' coverage of NFC games, created new and exclusive holiday games on the FOX Network, and expanded FOX's digital rights to enable future direct-to-consumer opportunities as well as NFL-related programming on TUBI.

FOX Entertainment

FOX Entertainment delivers high-quality scripted, non-scripted and live event content. FOX Network entertainment programming ranked #2 among all broadcast network primetime entertainment programming for the 2021-2022 broadcast season in the 18 to 49 year old audience (based on Nielsen's commercial+7 ratings). FOX Entertainment primetime programming during the 2021-2022 broadcast season featured such series as 9-1-1, 9-1-1: Lone Star, Bob's Burgers, Call Me Kat, The Cleaning Lady, The Great North, Family Guy, The Resident, The Simpsons and Welcome to Flatch; unscripted series, such as The Masked Singer, Next Level Chef, I Can See Your Voice, MasterChef Junior and Domino Masters; and event specials, such as the iHeartRadio Music Awards and the Miss Universe Pageant. In the 2021-2022 broadcast season, FOX launched the #1 new entertainment series Next Level Chef. The Masked Singer was the #2 primetime unscripted entertainment series and 9-1-1 was the #2 broadcast drama in the 18 to 49 year old audience. 9-1-1 and 9-1-1: Lone Star were Monday's top entertainment series of the season. The FOX Network featured four of the broadcast season's top ten comedies: The Simpsons, Family Guy, Bob's Burgers and Call Me Kat. In addition, The Masked Singer, 9-1-1, 9-1-1: Lone Star and Next Level Chef placed among the season's top 25 entertainment programs in the 18 to 49 year old audience.

The FOX Network obtains national sports programming through license agreements with professional or collegiate sports leagues or organizations, including long-term agreements with the NFL, MLB, college football and basketball conferences, NASCAR, FIFA, UEFA, Concacaf, CONMEBOL and WWE. Entertainment programming is obtained from major television studios, including 20th Television (formerly known as Twentieth Century Fox Television and which is owned by Disney), Sony Pictures Television and Warner Bros. Television, and independent television production companies pursuant to license agreements. The terms of these agreements generally provide the FOX Network with the right to acquire broadcast rights to a television series for a minimum of four seasons.

The FOX Network provides programming to affiliates in accordance with affiliation agreements of varying durations, which grant to each affiliate the right to broadcast network television programming on the affiliated station. Such agreements typically run three or more years and have staggered expiration dates. These affiliation agreements require affiliates to the FOX Network to carry the FOX Network programming in all time periods in which the FOX Network programming is offered to those affiliates, subject to certain exceptions stated in the affiliation agreements.

The FOX Network also distributes programming through its network-branded website, FOX.com, and its FOX NOW and FOX Sports apps, which offer live streaming of the FOX Network shows and programming from many broadcast stations affiliated with the FOX Network, and licenses programming for distribution through MVPDs' websites and apps.

TUBI

TUBI (Tubi, Inc.) is a leading advertising supported video-on-demand service available on over 25 digital platforms in the United States and select international regions as of June 2022. In the year ended June 30, 2022 (fiscal 2022), the service generated over 4 billion hours of total view time (the total number of hours watched) across its content library of over 45,000 films and television programs from over 350 content partners, including every major Hollywood studio. TUBI also features key FOX content, such as The Masked Singer, I Can See Your Voice and LEGO Masters, as well as sports programming and live local and national news content. TUBI carries nearly 100 local station feeds (including feeds of FOX's owned and operated stations), covering 50 DMAs and 24 of the top 25 markets. TUBI has also begun to offer new original titles and has introduced linear streaming channels to supplement its on-demand library, including channels featuring FOX Entertainment's The Masked Singer, TMZ and Studio Ramsay Global’s Gordon Ramsay.

TUBI broadens the reach of network television and enables the company's advertising partners to access a substantial, incremental digital audience. As of February 2022, the median age of TUBI's viewers was 39 years old, nearly 15 years younger than the median age of viewers of traditional and virtual MVPD services. TUBI viewers are diverse, with approximately 40% of its audience identifying as multicultural, and over 45% of its audience does not subscribe to traditional or virtual MVPD services.

Entertainment Programming Production

The company also produces entertainment programming for its traditional and digital entertainment platforms. Fox Alternative Entertainment is a full-service production studio that develops and produces unscripted and alternative programming primarily for the FOX Network, including The Masked Singer, Joe Millionaire: For Richer or Poorer and I Can See Your Voice. Bento Box Entertainment develops and produces animated programming, including programming that airs on the FOX Network, such as Bob's Burgers and The Great North. In fiscal 2022, the company acquired the entertainment studio MarVista Entertainment and TMZ, which produces daily syndicated magazine programs, broadcast television specials and other content for distribution on traditional and digital platforms, including TMZ.com, the TMZ mobile app and TUBI. The company also formed a co-owned production company with Gordon Ramsay, Studio Ramsay Global, that is focused on culinary and lifestyle programming.

MyNetworkTV

The programming distribution service, Master Distribution Service, Inc. (branded as MyNetworkTV), distributes two hours per night, Monday through Friday, of off-network programming from syndicators to its over 180 licensee stations, including 10 stations owned and operated by the company, and is available to approximately 97.5% of the U.S. households as of June 30, 2022.

Blockchain Creative Labs

Blockchain Creative Labs, a division formed by FOX Entertainment and Bento Box Entertainment that commenced operations in fiscal 2022, is focused on establishing a leadership position in Web3 content creation, distribution and monetization.

Other, Corporate and Eliminations segment

The Other, Corporate and Eliminations segment consists primarily of the FOX Studio Lot, Credible Labs Inc., corporate overhead costs and intracompany eliminations.

FOX Studio Lot

FOX owns the FOX Studio Lot in Los Angeles, California. The historic lot is located on over 50 acres of land and has over 1.85 million square feet of space for both administration and production and post-production services available to service a wide array of industry clients, including 15 sound stages, two broadcast studios, theaters and screening rooms, editing rooms and other television and film production facilities. The FOX Studio Lot provides two primary revenue streams — the lease of a portion of the office space to 21CF and other third parties and the operation of studio facilities for third party productions, which until 2026 will predominantly be Disney productions.

Credible Labs Inc.

The company holds 66% of the equity in Credible Labs Inc., which operates consumer finance and insurance marketplaces in the U.S. Credible Labs Inc.’s offerings provide consumers personalized product and rate options for a range of financial products, including student loans, personal loans, mortgages and insurance policies from multiple consumer lending and insurance providers.

Investments

Flutter Entertainment plc (Flutter)

The company and Flutter Entertainment plc have entered into a national media and sports wagering partnership in the U.S. The partnership offers the FOX Bet Super 6 national free-to-play game, which has a user base of more than 6 million registered accounts as of June 2022, and the FOX Bet sportsbook mobile app, which is available in New Jersey, Pennsylvania, Colorado and Michigan as of June 2022. FOX Sports provides Flutter Entertainment plc with an exclusive license to use certain FOX trademarks under a long-term commercial arrangement. In addition, subject to certain conditions and applicable gaming regulatory approvals, FOX Sports has an option until August 2029 to acquire up to 50% of the equity in the U.S. business of The Stars Group, a majority-owned subsidiary of Flutter Entertainment plc. As part of Flutter's acquisition of The Stars Group in 2020, FOX Sports received the right to acquire an approximately 18.5% equity interest in Flutter's majority-owned subsidiary, FanDuel Group (structured as a 10-year option from 2021), which is the subject of ongoing arbitration proceedings. The company also owns approximately 4.3 million ordinary shares of Flutter Entertainment plc, representing approximately 2.5% of Flutter Entertainment plc as of June 30, 2022.

Government Regulation

Credible Labs Inc. is subject to a variety of federal and state laws and regulations. These include the laws and regulations governing the collection, use and transfer of consumer information described above and the following:

The Truth-in-Lending Act, the Equal Credit Opportunity Act, the Fair Credit Reporting Act, the Fair Housing Act, the Real Estate Settlement Procedures Act (RESPA) and similar state laws, and federal and state unfair and deceptive acts and practices (UDAAP) laws and regulations, which place restrictions on the manner in which consumer loans and insurance products are marketed and originated and the amount and nature of fees that may be charged or paid to Credible Labs Inc. by lenders, insurance carriers and real estate professionals for providing or obtaining consumer loan and insurance requests.

The Dodd-Frank Wall Street Reform and Consumer Protection Act, which, among other things, imposes requirements related to mortgage disclosures.

Federal and state licensing laws, such as the Secure and Fair Enforcement for Mortgage Licensing Act of 2008, or ‘SAFE Act’, which establishes minimum standards for the licensing and regulation of mortgage loan originators, and state insurance licensing laws.

History

Fox Corporation was founded in 2018. The company was incorporated in 2018 under the laws of the state of Delaware.