Core Viewpoint - News Corporation is actively building defenses against the threat posed by artificial intelligence to its media assets, emphasizing the importance of proprietary content and legal strategies to protect intellectual property [1][5][7]. Financial Performance - News Corp reported a 6% increase in second quarter revenue to $US2.4 billion ($A3.4 billion), aligning with analysts' forecasts, driven by its Dow Jones information services and digital real estate services [8]. - Quarterly underlying earnings before interest, tax, depreciation, and amortization reached $US521 million, a 9% increase compared to the previous year [9]. - For the half-year period ending December 31, revenue rose 7% to $US1.2 billion ($A1.7 billion), with underlying earnings also increasing by 7% to $US861 million ($A1.2 billion) [9]. Digital Strategy and Subscriber Growth - The company is experiencing growth in digital subscriber numbers, with 1.2 million digital subscribers in Australia and nearly one million news masthead subscribers by the end of December [14]. - Circulation and subscription revenue have increased due to higher pricing in the UK and Australia, contributing positively to earnings results [14]. Legal and Competitive Landscape - News Corp's CEO highlighted a recent $US1.5 billion lawsuit settlement against AI company Anthropic for copyright infringements, which will benefit the company and its authors [5][6]. - The company has established a partnership with OpenAI to enhance its editorial products, positioning itself as a creator of premium content in contrast to AI-generated material [7]. Market Challenges - While Dow Jones remains a strong asset, other media properties in the UK and Australia have faced challenges, with flat quarterly revenue and a 4% decline in underlying earnings due to a tough print advertising market [10].