Fox(US:FOX)2025-09-10 18:12Summary of Fox (NasdaqGS:FOX) 2025 Conference Company Overview - Company: Fox Corporation - Event: Fireside Chat at the Goldman Sachs Communicopia Technology Conference - Date: September 10, 2025 Key Points Industry and Business Strategy - Overall Performance: Fox's businesses are performing well, with strong momentum in advertising and distribution revenue [5][6] - Strategic Shift: The strategy initiated in 2019, following the sale of entertainment assets to The Walt Disney Company, has been successful, resulting in nearly $5 billion increase in revenue since then [7] - Revenue Breakdown: Approximately $2 billion of the revenue increase is attributed to advertising, and another $2 billion from distribution [7] - EBITDA Growth: EBITDA has increased by nearly $1 billion, with $8.5 billion returned to investors [7] Tubi and Direct-to-Consumer Strategy - Tubi's Audience: Tubi targets 60 million cord-cutters in the U.S., which is a significant market opportunity [5] - Path to Profitability: Tubi is on track to profitability, with reinvestment of capital into Fox One, the company's direct-to-consumer business [6] - Fox One Launch: Launched on August 21, 2025, at $19.99 per month, Fox One has exceeded initial expectations in terms of consumer demand [14] - Bundling Strategy: Plans to bundle Fox One with other providers, including an ESPN bundle launching on October 2 at $39.99 per month [15] Advertising Market Insights - Strong Upfronts: Fox experienced double-digit volume increases in advertising during the upfronts, indicating strong demand across sports and news [16] - Sports Rights: The premium portfolio of sports rights, including NFL and college football, drives advertising demand [17] - Tubi's Position: Tubi's free service model allows it to reach over two-thirds of its audience in the cord-cutting market, making it attractive to advertisers [18] Strategic Priorities - Focus on Traditional Brands: Fox News remains the number one channel in cable, and the company aims to continue growing its traditional brands [19] - Digital Growth Investments: Investments in digital platforms, including Fox One and Tubi, are prioritized for future growth [20] FanDuel Investment - FanDuel Option: Fox has an option to acquire 18.6% of FanDuel, valued at $3.1 billion based on current market valuations [11] - Licensing Process: Engaging with 26 states for licensing, the resolution of control related to the Murdoch Family Trust simplifies this process [12] Additional Insights - Market Position: Fox's CPMs for advertising are significantly lower than broadcast networks, attracting more advertisers [19] - Audience Engagement: The combination of news and sports content on Fox One has been effective in driving audience engagement [14]