Mr Thomson later slammed the digital giants for skewing news, saying advertisers were learning about the "dangers of digital". It's possible the US-based behemoths could affect News Corp's profitability in terms of real estate. When REA Group recently made a submission to the Australian Competition and Consumer Commission’s world-first inquiry into the digital platforms’ impact on traditional publishers, it warned of the digital giants' potential to be "formidable competitors ... in the digital property advertising industry". Mr Thomson further criticised the digital behemoths for the “sheer amount of personal data” collected about users and for “algorithm abuse” manipulating the content being served to users on the platforms, at the publisher's third quarter earnings announcement on Friday. Digital platforms' methods to determine the content seen by users have been widely criticised for leading to echo chambers, where people are exposed to news and views that agree with their own outlook, and the spread of fake news. “These algorithms are already potent but they are destined to be much more formidable, and their abundant potential to skew news and skewer customers needs to be better understood and monitored,” Mr Thomson said.

He said governments were considering an Algorithm Review Board, an idea floated by News Corp Australia in a lengthy submission to the ACCC inquiry. Mr Thomson did, however, express appreciation for Google chief executive Sundar Pichai's ending of "first click free" - the search giant's former policy that required publishers to allow some free access to subscription sites when showing up in the search engine. Google has extended its relationships with publishers in recent months, including a world-first advertising and technology partnership with Fairfax Media (owner of The Sydney Morning Herald and The Age). News Corp, and other publishers, are in discussions with social media platform Facebook "which certainly professes concerns about virtue and veracity," Mr Thomson said. While news represents a small proportion of the content on the platform, he said there was "no doubt the company needs trusted publishers" to enhance an experience polluted by fake news and gossip.

Subscriptions for News Corp's pay-TV platform Foxtel/Fox Sports reached 2.8 million subscribers at the end of March, with growth from on-demand streaming product Foxtel Now. Mr Thomson was bullish on the new sports schedule, having recently acquired the rights to every game of cricket for the next six years in a joint-bid worth $1.3 billion with Seven West Media. He said this deal would help with the “summer lull”, a period of significant churn for Foxtel subscribers who were dropping off due to a lack of sport in the warmer season. Churn can be expensive for businesses who either have to replace the subscribers or face declining revenue. “[I am] confident the team will create a compelling summer package making Foxtel a year-round experience,” he said. In Australian currency terms, Foxtel’s earnings fell 24 per cent due to lower revenues and an $18 million increase in sports programming costs, including AFL rights.

The Foxtel/Fox Sports team, headed by chief executive Patrick Delany, will focus on developing an Over-The-Top (video streaming) option, heroing both sports- and non-sports content, and improving the user interface. Mr Thomson shrugged off a question about whether Rupert Murdoch was still focused on the business, given Mr Murdoch’s heavy involvement in selling some of Fox’s assets to Disney. “Rupert is very much engaged in the company, actively so as executive chairman, he’s across all the businesses and his level of interest remains intense,” Mr Thomson said. Shares of the Wall Street Journal owner fell 1.7 per cent in extended trading. Net loss available to stockholders widened to $US1.13 billion, or $US1.94 per share, from $US5 million, or one cent per share, a year earlier.

Revenue at the unit, which houses real estate websites such as realtor.com and doorsteps.com, jumped 27 per cent to $US279 million. with Reuters