News Corp (NYSE:NWS) Former Aussie Rupert Murdoch whose company News Corporation owns more than 70 media outlets around the world including Fox News, Fox Studios, the New York Post, Dow Jones, MySpace, PhotoBucket, Hulu, and The Wall Street Journal just in the U.S.—announced that he will start charging for online media content.
In total Rupert controls a lot of the world's web traffic and even more of it's content. Pulling that content away from search engines like Google would have a significant impact on Google News and Google Finance. So much of the web' content is controlled by Rupert that he may hold the power, through licensing deals to attract someone like Microsoft.
If Microsoft could cut a deal with NWS in relation to exclusive use of that content in their Bing Search engine through a licensing fee, it could make Bing a real threat to Google.
News Corp is no stranger to the Search and Search Marketing, they developed their own breakaway Online Ad company and were in the Midst of the 1st round of the Yahoo-Microsoft offer.
What ever it is that Rupert is thinking, the "charge for content" is the tip of the iceberg. After removing that huge quantity and quality of content from the free web NWS ends up with enormous bargaining power with the big 3 search engines.
NWS is a Strong Buy at the current levels and looks certain to return to the Mid $20s range.
Disclosure Long NWS Long MSFT No Positions in GOOG or YHOO