I’ve never been a fan of Rupert Murdoch.
His Sun, a daily tabloid, with its Page 3 Stunnas (all with large bosoms, presumably a manifestation of his innate oedipus complex) and the Sunday ‘News of the Screws’ with its diet of celebrities doing ordinary things like getting divorced or going barebreasted on a beach on some remote tropical isle, and general and ephemeral tittle-tattle which pandered to base instincts, displayed a contempt for ordinary folk.
Although millions read his tabloids, I didn’t, but until he bought the Sunday Times in 1981 I was a regular reader. He bought the Times at the same time, but I was already a Guardian reader, a broadsheet without the overt cultural imperialism of the former. The integrity of the Sunday Times editors and journalists was regularly on display, especially through its series of Insights, investigations into corrupt practices.
In order to expand his press empire with these acquistions, Murdoch accepted a series of guarantees which were then endorsed by the government – and by extension Parliament – as conditions of his takeover, but within a year he broke every guarantee.
My intuitive mistrust of him hardened into my revulsion when, in 1986, he abruptly fired 5,000 employees as his print empire was moved from Fleet Street, the historical centre of the UK’s newspaper industry, to ‘Fortress Wapping‘. It was an underhand operation, backed by the police, and the first evidence that Murdoch had suborned politicians, via the state apparatus, for his own ends.
And now, at long last, the British public collectively reviles him and the politicians he had pocketed have turned on him, free at last from the fear that their peccadillos would become front page news. That he used his control of the British media to make and break British governments through his pre-election support (or criticism) of political party leaders, and that he encouraged former Labour Prime Minister Tony Blair to join America’s illegal war in Iraq is now public knowledge.
However, it is thanks in large part to investigations by the Guardian newspaper, and the ‘confessions’ of a journalist or two within News International who had a shred of integrity and faith in journalistic ethics that we have learned of the endemic hacking of voice mail messages by News Of The World journalists eager to suction up tittle-tattle for scoops which would boost the newspaper’s circulation – and profits for New International.
That the phones hacked included those of a murdered schoolgirl and soldiers killed in Afghanistan was enough to condemn this latterday Citizen Kane; the sundry ‘celebrities’ targetted were more articulate but had less public credibility in their justified outrage, and it has taken the repulsive intrusions into private grief to finally focus on the venality of News International in its search for banalities it could publish.
But, one may ask, what’s this got to do with Indonesia? For a start, does Murdoch have any say in the media here?
The simple answer is ‘yes’. On September 30 2005 Star TV, a satellite and cable operator based in Hong Kong and Rupert Murdoch’s Asian broadcaster, bought 20% of the national network ANTV, giving it a firmer foothold in Indonesia; Star TV pay-television services were already available on cable and satellite in Indonesia.
The deal is a politically delicate marriage. Advisers to the Star-ANTV transaction were concerned that Mr. Murdoch’s high profile could spur public opposition to the deal. Moreover, ANTV is owned by the family of Aburizal Bakrie, Indonesia’s then chief economy minister, drawing even more scrutiny.
There is a consolidation of media companies underway in Indonesia. On June 11th 2011, it was reported that Viva, 7.5% of which is owned by Rupert Mudroch’s (sic) News Corp., would seek to raise roughly $80m by placing 14.7 per cent of outstanding shares on the Jakarta stock exchange on July 1. The Bakrie family is bundling its television and online media outlets, including Indonesia’s most popular broadcaster, and listing them on the Jakarta stock exchange.
A week ago, Anindya Bakrie, head of Indonesia’s Bakrie Telecom, said that the world’s sixth-largest mobile telecoms market had to consolidate and he planned to kickstart the process by merging with or acquiring a profitable competitor. Mr Bakrie, the eldest son of business tycoon Aburizal Bakrie, told the Financial Times in an interview that just one or two companies fitted the required profile and discussions were ongoing. He declined to give names.
I presume, without finding evidence to the contrary, that the “firmer foothold” quoted above in 2005 refers to Star TV which was then available to the few who lived within the limited coverage of KabelVision (now part of First Media which is, to my knowledge, the only company offering fibre-optic cable broadband to home subscribers.) I still don’t – I’m literally the wrong side of the tracks, although the upmarket housing komplek the other end of my street does have it.
However, I do subscribe to Star Movies and Star Sport, but not Sky, Fox News or some National Geographic Channels which are also part of the Murdoch empire, via Indovision’s satellite service. This is part of Media Nusantara Citra (MNC), headed by Hary Tanoesoedibjo who, it was suggested in 2002, was fronting for Bambang Trihatmodjo, Suharto’s second son, when he bought most of the stock of Bimantara Citra, the Suharto family’s flagship holding company. This brought in RCTI, the first private TV station in Indonesia, and TPI, now known as GlobalTV, formerly owned by Suharto’s eldest daughter, Siti Hardiyanti Rukmana.
Hary is apparently also keen to expand his media empire, which, James Riady’s Jakarta Globe reported in February, controls around 40% of audience ratings, putting Chairul Tanjung’s Trans Group, rather than Bakrie’s Viva Media Asia, second. This week Chairul Tanjung’s Para Group has bought Indonesia’s largest internet news portal, Detik.com, for c.$40million.
Hary has said that his business maneuvers over the past decade have taken him close to powerful interests, including the country’s presidents. “I am close to them all, the late former President Abdurahman Wahid, former President Megawati Sukarnoputri, because of my position in the media,” he states, though downplaying the significance by saying anyone - except for Jakartass? - can be close to a president.
So, apart from having a slice of Bakrie’s pie, does Rupert Murdoch have ties with any of the other oligarchs?
I’ve found little through googling, pondered the little I’ve gleaned, smoked a few kretek cigarettes and rung my inside man in Jakarta’s financial district, who advised me to google because there is little transparency in the country’s financial dealings.
However, I did find this article from Ben Bland.
On September 30th 2009, in Washington DC, Rupert Murdoch had dinner with Mari Pangestu, Indonesia’s Minister of Trade. Murdoch’s News Corporation was hosting an “Evening Celebrating Indonesia” and Mari was the guest-of-honour. Accompanied by a delegation of government officials and businessmen, Mari spoke about her desire to attract more US investment into Indonesia’s emerging film and entertainment industry.
And she was most grateful to Murdoch for sponsoring the event, saying: “I want personally to congratulate the Chairman of News Corporation, Mr. Rupert Murdoch and CEO of News Corporation, Mr. James Murdoch who make this important event happened. May you have continued success and hope this is a starting point for Indonesia and US film cooperation.”
Nearly two years later, I can find nothing else apart from the plans of the media oligarchs profiled above to continue expanding. Is Murdoch embedded in Indonesia’s media indusrty?
Strangely, even if he is, I don’t think Indonesia has much to fear from him. I don’t say this because his aura is rapidly fading worldwide but because Indonesia’s political pie has already been carved up by the media oligarchs in league with whoever remains active of the Cendana Clan.
One such is Surya Paloh, owner of Metro TV and Media Indonesia daily newspaper. A noted reformist in May 1998, he was the main rival for the chairmanship of Golkar in 2009, eventually won by Aburizal Bakrie. He still has his eyes on the presidency and last year joined Hanura, the political vehicle of Gen.(ret) Wiranto, Suharto’s last Armed Forces chief.
The biggest worry about the Indonesian media landscape is that it is being concentrated in the hands of too few oligarchs.
This week, a coalition of media watchdogs sent a letter to President Susilo Bambang Yudhoyono expressing concern over the relative concentration of TV station ownership among too few companies.
The letter was also sent to the Ministry of Communication and Information Technology, the Indonesian Broadcasting Commission (KPI), the Capital Market and Financial Institution Supervisory Agency (Bapepam LK) and the Constitutional Court.
The coalition referred to an article in the 2002 Broadcasting Law granting all citizens the right and obligation to contribute to the development of national broadcasting, citing concerns that concentration could be keeping interested citizens from enjoying that right.
Article 18 of the Broadcasting Law, limits a single person or corporation’s control of private broadcasters, and Article 34, which prohibits the transfer of broadcasting licenses.
My conclusion is therefore very basic: Indonesian media barons have learnt a lot from Rupert Murdoch’s megalomania. They seek to emulate him and are unlikely to allow him greater access to their power bases.
So, what was Mari Pangestu trying to do?
Footnote.
Both Bakrie Bros. and Hary Tanoesoedibjo have recently expanded their coal mining interests, as their export of Indonesian resources gives them short-term cash to pay off debts and reduce future loans needed to buy more media outlets and coal mines.
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Further Reading
Two reports demonstrate how the élite use Suharto era defamation laws to shield themselves from criticism.
The Threat from Within: the 2010 Annual Report of the Alliance of Independent Journalists (.pdf), makes grim reading, with accounts of journalists being viciously beaten, and the use of defamation laws which criminalises journalists, and ordinary citizens, even when they report documented facts.
Turning Critics into Criminals: The Human Rights Consequences of Criminal Defamation Law in Indonesia.
(To be fair, when Tempo magazine depicted Aburizal Bakrie with the devil’s sign, 666, on his forehead, he complained to the Press council rather than resorting to criminal proceedings.)
Rupert Murdoch as Citizen Kane
Unspun has the inside track on media ownership.
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