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Fox News begins broadcasting on US cable television. Fox News provides 24-hour news programming alongside the nation’s only other such cable news provider, CNN. Fox executive Roger Ailes, a former campaign adviser for Richard Nixon, Ronald Reagan and George H. W. Bush (see 1968, January 25, 1988, and September 21 - October 4, 1988), envisions Fox News as a conservative “antidote” to what he calls the “liberal bias” of the rest of American news broadcasting. Ailes uses many of the methodologies and characteristics of conservative talk radio, and brings several radio hosts on his channel, including Sean Hannity and Bill O’Reilly, to host television shows. (Jamieson and Cappella 2008, pp. 47; Sherman 5/22/2011) Referring to Ailes’s campaign experience, veteran Republican consultant Ed Rollins later says: “Because of his political work, he understood there was an audience. He knew there were a couple million conservatives who were a potential audience, and he built Fox to reach them.” (Sherman 5/22/2011)
Ailes Planned for Fox News as Far Back as 1970 - Ailes began envisioning a conservative news provider to counter what he considers the mainstream media’s “liberal bias” as early as 1970, when he became heavily involved with a Nixon administration plan to plant conservative propaganda in news outlets across the nation (see Summer 1970). In 1971, he headed a short-lived private conservative television news network, Television News Incorporated (TVN—see 1971-1975), which foundered in 1975 in part because of its reporters and staffers balking at reporting Ailes-crafted propaganda instead of “straight” news. Ailes told a New York Times reporter in 1991 that he was leaving politics, saying: “I’ve been in politics for 25 years. It’s always been a detour. Now my business has taken a turn back to my entertainment and corporate clients.” But Ailes misinformed the reporter. He continued to work behind the scenes on the 1992 Bush re-election campaign, providing the campaign with attack points against Democratic contender Bill Clinton (D-AR) and earning the nickname “Deep Throat” from Bush aides. Though Ailes did do work in entertainment, helping develop tabloid television programs such as The Maury Povich Show and heading the cable business news network CNBC for three years, Ailes has continued to stay heavily involved in Republican politics ever since. Ailes became involved in the creation of Fox News in early 1996 after he left NBC, which had canceled his show America’s Talking and launched a new cable news network, MSNBC, without asking for Ailes’s involvement. Fox News is owned by News Corporation (sometimes abbreviated NewsCorp), an international media conglomerate owned by conservative billionaire Rupert Murdoch. When NBC allowed Ailes to leave, Jack Welch, the chairman of NBC’s parent company General Electric, said, “We’ll rue the day we let Roger and Rupert team up.” Murdoch has already tried and failed to buy CNN, and has already begun work on crafting news programs with hard-right slants, such as a 60 Minutes-like show that, reporter Tim Dickinson will write, “would feature a weekly attack-and-destroy piece targeting a liberal politician or social program.” Dan Cooper, the managing editor of the pre-launch Fox News, later says, “The idea of a masquerade was already around prior to Roger arriving.” Eric Burns, who will work for ten years as a Fox News media critic before leaving the network, will say in 2011: “There’s your answer right there to whether Fox News is a conventional news network or whether it has an agenda. That’s its original sin.” To get Fox News onto millions of cable boxes at once, Murdoch paid hundreds of millions of dollars to cable providers to air his new network. Murdoch biographer Neil Chenoweth will later write: “Murdoch’s offer shocked the industry. He was prepared to shell out half a billion dollars just to buy a news voice.” Dickinson will write, “Even before it took to the air, Fox News was guaranteed access to a mass audience, bought and paid for.” Ailes praised Murdoch’s “nerve,” saying, “This is capitalism and one of the things that made this country great.” (Sherman 5/22/2011; Dickinson 5/25/2011)
Using Conservative Talk Radio as Template - In 2003, NBC’s Bob Wright will note that Fox News uses conservative talk radio as a template, saying: “[W]hat Fox did was say, ‘Gee, this is a way for us to distinguish ourselves. We’re going to grab this pent-up anger—shouting—that we’re seeing on talk radio and put it onto television.’” CBS News anchor Dan Rather will be more critical, saying that Fox is a reflection of Murdoch’s own conservative political views. “Mr. Murdoch has a business, a huge worldwide conglomerate business,” Rather says. “He finds it to his benefit to have media outlets, press outlets, that serve his business interests. There’s nothing wrong with this. It’s a free country. It’s not an indictable offense. But by any clear analysis the bias is towards his own personal, political, partisan agenda… primarily because it fits his commercial interests.” (Auletta 5/26/2003)
Putting Ideology Over Journalistic Ethics, Practices - Ailes, determined not to let journalists with ethical qualms disrupt Fox News as they had his previous attempt at creating a conservative news network (see 1971-1975), brought a hand-picked selection of reporters and staffers with demonstrable conservative ideologies from NBC, including business anchor Neil Cavuto and Steve Doocy, who hosts the morning talk show “Fox and Friends.” Both Cavuto and Doocy are Ailes loyalists who, Dickinson will say, owe their careers to Ailes. Ailes then tapped Brit Hume, a veteran ABC correspondent and outspoken conservative, to host the main evening news show, and former Bush speechwriter Tony Snow as a commentator and host. John Moody, a forcefully conservative ABC News veteran, heads the newsroom. Ailes then went on a purge of Fox News staffers. Joe Peyronnin, who headed the network before Ailes displaced him, later recalls: “There was a litmus test. He was going to figure out who was liberal or conservative when he came in, and try to get rid of the liberals.” Ailes confronted reporters with suspected “liberal bias” with “gotcha” questions such as “Why are you a liberal?” Staffers with mainstream media experience were forced to defend their employment at such venues as CBS News, which he calls the “Communist Broadcast System.” He fired scores of staffers for perceived liberal leanings and replaced them with fiery young ideologues whose inexperience helps Ailes shape the network to his vision. Before the network aired its first production, Ailes had a seminal meeting with Moody. “One of the problems we have to work on here together when we start this network is that most journalists are liberals,” he told Moody. “And we’ve got to fight that.” Reporters and staffers knew from the outset that Fox, despite its insistence on being “fair and balanced” (see 1995), was going to present news with a conservative slant, and if that did not suit them, they would not be at Fox long. A former Fox News anchor later says: “All outward appearances were that it was just like any other newsroom. But you knew that the way to get ahead was to show your color—and that your color was red.” The anchor refers to “red” as associated with “red state,” commonly used on news broadcasts to define states with Republican majorities. Ailes will always insist that while his network’s talk-show hosts, such as O’Reilly, Hannity, and others, are frankly conservative, Fox’s hard-news shows maintain what he calls a “bright, clear line” that separates conservative cant from reported fact. In practice, this is not the case. Before Fox aired its first broadcast, Ailes tasked Moody to keep the newsroom in line. Early each morning, Ailes has a meeting with Moody, often with Hume on speakerphone from the Washington office, where the day’s agenda is crafted. Moody then sends a memo to the staff telling them how to slant the day’s news coverage according to the agenda of those on “the Second Floor,” as Ailes and his vice presidents are known. A former Fox anchor will later say: “There’s a chain of command, and it’s followed. Roger talks to his people, and his people pass the message on down.” After the 2004 presidential election, Bush press secretary Scott McClellan will admit, “We at the White House were getting them talking points.”
Targeting a Niche Demographic - Fox New’s primary viewership defies most demographic wisdom. According to information taken in 2011, it averages 65 years of age (the common “target demographic” for age is the 18-24 bracket), and only 1.38% of its viewers are African-American. Perhaps the most telling statistics are for the Hannity show: 86% describe themselves as pro-business, 84% believe government “does too much,” 78% are “Christian conservatives,” 78% do not support gay rights, 75% are “tea party backers,” 73% support the National Rifle Association, 66% lack college degrees, and 65% are over age 50. A former NewsCorp colleague will say: “He’s got a niche audience and he’s programmed to it beautifully. He feeds them exactly what they want to hear.” Other polls from the same time period consistently show that Fox News viewers are the most misinformed of all news consumers, and one study shows that Fox News viewers become more misinformed the more they watch the network’s programming.
Ailes's Security Concerns Affect Operations, Broadcasting - Ailes is uncomfortable in his office, a second-floor corner suite in the Fox News building at 1211 Avenue of the Americas in Manhattan. His office is too close to the street for his tastes; he believes that gay activists intend to try to harm him, either by attacks from outside the building or through assaults carried out from inside. He also believes that he is a top target for al-Qaeda assassins. Ailes barricades himself behind an enormous mahogany desk, insists on having “bombproof” glass installed in the windows, surrounds himself with heavily-armed bodyguards, and carries a firearm (he has a concealed-carry permit). A monitor on his desk shows him what is transpiring outside his office door; once, when he sees a dark-skinned man wearing what he thought was Muslim garb on the monitor, he will order an immediate lockdown of the entire building, shouting, “This man could be bombing me!” The man will turn out to be a janitor. A source close to Ailes will say, “He has a personal paranoia about people who are Muslim—which is consistent with the ideology of his network.” A large security detail escorts him daily to and from his Garrison, New Jersey home to his Manhattan offices; in Garrison, his house is surrounded by empty homes Ailes has bought to enhance his personal security. According to sources close to Ailes, Fox News’s slant on gay rights and Islamist extremism is colored by Ailes’s fear and hatred of the groups.
'We Work for Fox' - Sean Wilentz, a Princeton historian and Reagan biographer, will say: “Fox News is totalized: It’s an entire network, devoted 24 hours a day to an entire politics, and it’s broadcast as ‘the news.’ That’s why Ailes is a genius. He’s combined opinion and journalism in a wholly new way—one that blurs the distinction between the two.” Dickinson will write: “Fox News stands as the culmination of everything Ailes tried to do for Nixon back in 1968. He has created a vast stage set, designed to resemble an actual news network, that is literally hard-wired into the homes of millions of America’s most conservative voters. GOP candidates then use that forum to communicate directly to their base, bypassing the professional journalists Ailes once denounced as ‘matadors’ who want to ‘tear down the social order’ with their ‘elitist, horse-dung, socialist thinking.’ Ironically, it is Ailes who has built the most formidable propaganda machine ever seen outside of the Communist bloc, pioneering a business model that effectively monetizes conservative politics through its relentless focus on the bottom line.” Former Bush speechwriter David Frum will observe: “Republicans originally thought that Fox worked for us. Now we’re discovering that we work for Fox.” (Sherman 5/22/2011; Dickinson 5/25/2011)
Fox News chief Roger Ailes has hired John Prescott Ellis, a freelance Republican political advisor and an intensely loyal cousin of presidential candidate George W. Bush (R-TX), to head the network’s election-night coverage for the 2000 presidential election (see October-November 2000). During the election, Ellis is in constant contact with Bush and his senior campaign aides, speaking with Bush himself five separate times during the evening.
Calling Florida for Gore - At 7:52 p.m., Bush’s brother Jeb Bush (R-FL), the sitting governor of Florida, calls Ellis to protest when Fox “mistakenly” projects Florida as going to Al Gore (D-TN). Ellis tells Jeb Bush that he is looking at a computer “screenful of Gore.” Bush reminds Ellis, “But the polls haven’t closed in the panhandle.” Ellis replies, “It’s not going to help.” Voter News Service (VNS), the voting consortium the networks all use, rates the race a 99.5 percent certainty that Gore has won Florida, a conclusion that VNS and network officials alike later say was a mistake (see February 14, 2001). The prediction is indeed inaccurate; within minutes, Gore’s lead begins to shrink again. At 9:38 p.m., VNS issues a correction of an inaccurate vote count for Duval County, stripping Gore of a number of phantom votes, and the race is again far too close to call.
Calling Florida for Bush - At 2:10 a.m., Ellis sees data from VNS that shows Bush with a 51,433-vote lead, and 179,713 votes left to be counted. (The latter figure is grossly inaccurate, later data proves; over 350,000 votes actually remain to be counted.) Gore would need 63 percent of those votes to win, a scenario that is statistically unlikely. Ellis calls Jeb Bush to say that it is “statistically impossible” for Bush to lose. Around 2:15 a.m., Ellis puts the telephone down and excitedly announces to his team: “Jebbie says we got it! Jebbie says we got it!” Even though Florida is still rated “too close to call” by VNS, Fox News vice president John Moody gives the go-ahead to project Bush the winner in Florida. Fox News anchor Brit Hume makes the call for Bush at 2:16 a.m. The other networks hurriedly, and inaccurately, follow suit. (Kurtz 11/14/2000; Wittstock 11/19/2000; Associated Press 12/11/2000; Niman 12/14/2000; Shepard 1/2001; Moore 11/6/2006; Sherman 5/22/2011) Hume himself is a bit apprehensive of the call. “I must tell you, everybody, after all this, all night long, we put Bush at 271, Gore at 243,” he tells Fox viewers. “I feel a little bit apprehensive about the whole thing. I have no reason to doubt our decision desk, but there it is.” (Reaves 11/15/2000)
Other Networks Follow Suit - As Hume is announcing Bush’s “victory” in Florida, NBC News election coverage chief Sheldon Gawiser is on the telephone with Murray Edelman, the editorial director for VNS. Gawiser is considering calling Florida for Bush, and wants to discuss calling the race for Bush while citing Edelman and VNS as the sources responsible for such a call. Edelman is shocked that Gawiser wants to make any call with Bush’s lead not only very small, but dwindling. But as the two are talking, Fox’s announcement comes over NBC’s monitors, and Gawiser breaks off the call, saying: “Sorry, gotta go. Fox just called it.” At 2:17 a.m., NBC projects Bush the winner in Florida and the next president of the United States. The joint decision team for CBS and CNN, Warren Mitofsky and Joe Lenski, make the same decision a minute later. After CBS declares Bush’s victory, anchor Dan Rather tells viewers: “Let’s give a tip of the Stetson to the loser, Vice President Al Gore, and at the same time, a big tip and a hip, hip, hurrah and a great big Texas howdy to the new president of the United States. Sip it, savor it, cup it, photostat it, underline it in red, press it in a book, put it in an album, hang it on the wall—George W. Bush is the next president of the United States.” The ABC decision team resists making the call, not trusting the data (it had similar reservations about the earlier call for Gore), but according to ABC election consultant John Blydenburgh, a network executive overrides the decision team and has ABC declare Bush the projected winner at 2:20 a.m. Blydenburgh says the executive does not want ABC to look “foolish” by being the only network not to recognize Bush as the next president. The Associated Press (AP) refuses to make the call, saying that its figures show Bush with only a 30,000-vote lead, and that steadily dwindling (by 2:30 a.m., Bush’s lead, by the AP’s count, is below 19,000 votes; a glitch in the Volusia County numbers that comes in minutes after the call for Bush slashes Bush’s lead considerably, validating the AP’s reluctance to make the call). But the television broadcasts drive the story. Network pundits immediately begin dissecting Bush’s “victory” and speculating as to why Gore “lost.” (Shepard 1/2001; Moore 11/6/2006) Shortly after 3 a.m., CBS’s Ed Bradley begins informing viewers that the AP numbers show Bush with a lead of only 6,000 votes. Rather tells the viewers that if the AP is correct, the previous call for Bush may be premature. “Let’s not joke about it folks,” he says. “You have known all night long and we’ve said to you all night long that these estimates of who wins and who loses are based on the best available information we have. CBS News has the best track record in the business, over a half century plus, for accuracy on election night. But nobody’s perfect.” However, few listen to either CBS’s caveats or the AP’s refusal to call the election. (Shepard 1/2001) By 4:52 a.m., Bush’s lead has dwindled to 1,888 votes.
Fox Leads the Narrative for Bush - Gore initially concedes the race, but when the networks begin retracting their declaration and return Florida to the “too close to call” status, he retracts his concession. In their last conversation of the evening, Bush tells Ellis that Gore has taken back his concession, and says: “I hope you’re taking all this down, Ellis. This is good stuff for a book.” The morning headlines in most daily papers declare Bush the winner; much of the news coverage slams Gore as indulging in “sour grapes” for not conceding the election. Rather later says: “We’ll never know whether Bush won the election in Florida or not. But when you reach these kinds of situations, the ability to control the narrative becomes critical. Led by Fox, the narrative began to be that Bush had won the election.” In 2011, Rolling Stone reporter Tim Dickinson will write, “A ‘news’ network controlled by a GOP operative who had spent decades shaping just such political narratives—including those that helped elect the candidate’s father—declared George W. Bush the victor based on the analysis of a man who had proclaimed himself loyal to Bush over the facts.” After the election, House Representative Henry Waxman (D-CA) says: “Of everything that happened on election night, this was the most important in impact. It immeasurably helped George Bush maintain the idea in people’s minds that he was the man who won the election.” (Wittstock 11/19/2000; Associated Press 12/11/2000; Niman 12/14/2000; Sherman 5/22/2011) Ellis later writes that Bush did not try to influence his coverage. “Governor Bush was, as always, considerate of my position,” Ellis will write. “He knew that I would be fried if I gave him anything that VNS deemed confidential, so he never asked for it. He made a point of getting the early exit poll data from other sources before talking to me.” (Associated Press 12/11/2000)
Criticism of Fox, Ellis - Tom Rosenstiel, director of the Project for Excellence in Journalism, later says of Ellis and Fox while the election is still in dispute: “The notion you’d have the cousin of one presidential candidate in a position to call a state, and the election, is unthinkable. Fox’s call—wrong, unnecessary, misguided, foolish—helped create a sense that the election went to Bush, was pulled back, and it’s just a matter of time before his president-elect title is restored. But that said, John Ellis is a good man, a good journalist whose judgment was overcome by excitement. He put himself in an impossible situation, but the mistake was not so much his as Rupert Murdoch’s for putting him in that position.… Everybody knows it’s a partisan channel, but its marketing slogan, ‘We report; you decide,’ is now totally obliterated by the fact that one candidate’s first cousin is actually deciding, and then they report.” (Rosenstiel is apparently unaware that Murdoch, who owns Fox News’s parent company News Corporation, did not make the call to hire Ellis.) Rosenstiel’s colleague Carl Gottlieb is less restrained, saying: “It’s beyond belief. The network should not have allowed Ellis to report on this election. As a viewer, after reading this story and reading about Ellis’s involvement in calling the race, you can’t help but get the idea that this guy’s complicit in what’s going on now down in Florida.” Murdoch will later claim that Fox News displayed “no partisanship” in its election-night coverage. Ellis will later tell a reporter: “It was just the three of us guys handing the phone back and forth—me with the numbers, one of them a governor, the other president-elect. Now that was cool. And everybody followed us.” (Wittstock 11/19/2000; Moore 11/6/2006) Ellis will also later deny telling his team that “Jebbie” gave him the go-ahead to call the election for Bush, instead saying he made the call based on his own calculations. Statistician Cynthia Talkov, the only member of Fox’s election team who actually understands the VNS statistical models, later says she never saw Ellis making any such calculations, and will say Ellis did not ask her for her opinion for his call, though every other projection that evening was made with her explicit approval. Talkov is one of the people who will confirm that Ellis received the go-ahead to call the election from Jeb Bush. A post-election analysis prepared by outside reviewers for CNN later issues sharp criticisms of the networks, noting, “On Election Day 2000, television news organizations staged a collective drag race on the crowded highway of democracy, recklessly endangering the electoral process, the political life of the country, and their own credibility.” Mitofsky, who invested election polls and developed the election night projection system the networks use, later calls Ellis’s actions “the most unprofessional election night work I could ever imagine. He had no business talking to the Bush brothers or to any other politician about what he was doing.” On the other hand, Ailes will characterize Ellis’s actions as those of “a good journalist talking to his very high-level sources on election night.” (Moore 11/6/2006)
Fox 'Investigation' Comes Up Empty - Fox News will announce an “investigation” of any conflicts of interest or unprofessional behavior concerning Ellis’s role in declaring Bush the winner, but nothing will come of any such investigation. The “investigation” will find that Ellis gave no VNS information to either George W. Bush, Jeb Bush, or any Bush campaign official, though Ellis himself will freely admit to a New Yorker reporter that he shared VNS data with both Bushes repeatedly during the evening. Such sharing of data would constitute a violation of journalistic ethics as well as possible criminal behavior. (Wittstock 11/19/2000; Moore 11/6/2006) Ailes had specifically warned his team not to share VNS information with anyone from the campaigns. (Boehlert 11/15/2000) Before the investigation is even launched, Moody will say: “Appearance of impropriety? I don’t think there’s anything improper about it as long as he doesn’t behave improperly, and I have no evidence he did.… John has always conducted himself in an extremely professional manner.” (Kurtz 11/14/2000)
Roger Ailes, a powerful Republican campaign consultant (see 1968, January 25, 1988, and September 21 - October 4, 1988) and the founder and chairman of Fox News (see October 7, 1996), becomes embroiled in a legal conflict involving former New York Police Commissioner Bernard Kerik and his mistress, Judith Regan, a book editor for another arm of Fox News’s parent company News Corporation (NewsCorp). Ailes learns that Kerik has commandeered an apartment overlooking the site of the devastated World Trade Center, intended for the use of rescue and recovery workers, as a “love nest” for his trysts with Regan. Ailes is a close friend and political ally of former New York Mayor Rudolph Giuliani, who recommended Kerik to head the Department of Homeland Security. Kerik is already being pilloried in the press for a number of other ethical and perhaps even criminal activities, and is being vetted for the DHS slot. Ailes and Giuliani do not want the Kerik-Regan affair, and the commandeered apartment, to come to the public’s notice. Court documents later say that Ailes “told Regan that he believed she had information about Kerik that, if disclosed, would harm Giuliani’s presidential campaign.” Ailes “advised Regan to lie to, and to withhold information from, [federal] investigators concerning Kerik.” The attempted cover-up will later be brought to light when NewsCorp fires Regan in 2006, and she brings a wrongful-termination suit that secures a $10.75 million settlement. Regan will not identify Ailes by name, only as a “senior executive” for NewsCorp, but other documents accidentally made public will reveal Ailes’s identity. Reportedly, Regan has her telephone conversations with Ailes on tape. NewsCorp will later claim that Regan has sent it a letter stating that “Mr. Ailes did not intend to influence her with respect to a government investigation.” Regan’s lawyer will say that NewsCorp’s claim does not reflect the entirety of Regan’s letter. Kerik himself will withdraw his name from consideration, and will later be sentenced to four years in prison for tax fraud. (Chait 2/24/2011; Martinez 2/24/2011; Buettner 2/25/2011; Sherman 5/22/2011)
Fox News contributor John Kasich (R-OH), a former US representative and a current managing partner of the financial firm Lehman Brothers, announces that he intends to challenge Governor Ted Strickland (D-OH) in the 2010 midterm elections. Basic journalist ethics require Fox News to terminate its contract with Kasich and treat him as a candidate for office in future broadcasts. Instead, Kasich remains a Fox News employee until June 1, 2009, when he formally launches his bid for governor of Ohio. He regularly promotes his candidacy on Fox broadcasts, most often on the highly rated O’Reilly Factor, where he is a frequent guest and sometime guest host. Fox News commentators frequently laud Kasich; on June 17, 2008, Republican political analyst and paid Fox contributor Frank Luntz says he is “hoping that Kasich runs for governor of Ohio. I think John would be an outstanding candidate.” On July 15, 2008, talk show host Sean Hannity tells Kasich: “I’m advocating that you run for governor one day. And you’re not.… You’re not going along at all.” Kasich will continue to appear as a regular guest on Fox News programming after he formally launches his bid and Fox terminates its contract with him. He will make frequent appearances on Hannity’s show, where Hannity calls him “governor” and “soon-to-be governor,” and holds a fundraiser for Kasich in October 2009. On The O’Reilly Factor, Fox will show the URL for Kasich’s campaign Web site. On July 8, 2009, Hannity will tell Kasich on air: “You do me a favor. Go get elected governor, although why you would ever want that job, you’re out of your mind, but good luck. And I’m supporting you in the effort.” Kasich will also receive two $10,000 contributions from News Corporation, the parent company of Fox News. (Columbus Dispatch 3/27/2008; Hananoki 9/24/2010) Kasich will narrowly defeat Strickland in the 2010 gubernatorial elections. (Associated Press 11/3/2010) After two months in office, his draconian budget cuts, insults to law enforcement officials and minorities, and heavy-handed attacks on unions will send his popularity plummeting and in April 2011 will spark a recall effort. (Somander 4/11/2011)
Roger Ailes, a powerful Republican campaign consultant (see 1968, January 25, 1988, and September 21 - October 4, 1988) and the founder and chairman of Fox News (see October 7, 1996), realizes that Senator Barack Obama (D-IL) is going to win the upcoming presidential election (see November 4, 2008). In preparation, Ailes begins hiring an array of conservatives to join his network (see November 3, 2003, July 2004, and October 26, 2009), many of whom he intends to groom for the 2012 presidential race. By the time the election is over, Ailes will have hired Karl Rove, the Bush administration’s political guru, and former Governor Mike Huckabee (R-AR), an unsuccessful Republican presidential candidate. (Ailes is able to woo both Rove and Huckabee away from CNN, which also offers them positions as paid commentators.) Soon, Ailes will hire several more possible Republican contenders, including the Republican vice-presidential candidate Sarah Palin (R-AK), former House Speaker Newt Gingrich (R-GA), former Senator Rick Santorum (R-PA), and former UN Ambassador John Bolton. Ailes fully intends to use Fox News as a platform for launching Republican presidential bids (see May 22, 2011), but his decision to hire Rove, Huckabee, Palin, and the others is also business-driven. A close friend of his will explain: “It would be easy to look at Fox and think it’s conservative because Rupert [Murdoch, the media executive who owns the Fox networks] and Roger are conservative and they program it the way they like. And to a degree, that’s true. But it’s also a business. And the way the business works is, they control conservative commentary the way ESPN controls the market for sports rights. If you have a league, you have a meeting with ESPN, you find out how much they’re willing to pay, and then everyone else agrees to pay the same amount if they want it.… It’s sort of the same at Fox. I was surprised at some of what was being paid until I processed it that way. If you’re ABC and you don’t have Newt Gingrich on a particular morning, you can put someone else on. But if you’re Fox, and Newt is moving and talking today, you got to have him. Otherwise, your people are like: ‘Where’s Newt? Why isn’t he on my channel?’” Ailes met secretly with Palin in September 2008, and will continue to court her for Fox after the campaign, even loaning her a private jet owned by Murdoch’s News Corporation. CNN will decline to offer her a position, and Ailes, through programming chief Bill Shine, will negotiate a three-year, $3 million deal to have Palin as a regular contributor and a host of prime-time specials. Amid all of this, Ailes does not want Fox News to be seen as an arm of the Republican Party (see December 2002 and October 11, 2009). (Sherman 5/22/2011) In 2010, the press will report that Fox News has “exclusive rights” to broadcast and interview four presumed 2012 Republican candidates, Palin, Gingrich, Huckabee, and Santorum (see September 27, 2010).
The progressive news Web site AlterNet publishes an analysis of how health insurance and medical industry firms use so-called “Astroturf” organizations (see April 14, 2009, April 15, 2009, May 29, 2009, July 27, 2009, August 4, 2009, August 5, 2009, Before August 6, 2009, August 6, 2009, and August 6-7, 2009) to work against health care reform. One firm investigated is the Medicines Company, a small pharmaceutical firm, which has hired the Washington lobbying firm DLA Piper to promote its interests, including fighting health care reform. Former House Majority Leader Dick Armey (R-TX) is a senior policy adviser for DLA Piper, and heads the “grassroots” organization FreedomWorks, which apparently conducts protests and advocacy for the interests of DLA Piper’s clients (see April 14, 2009). The AlterNet analysis, by Adele M. Stan, accuses Armey of having a conflict of interest in his dual roles as lobbyist and “grassroots” organizer. The Medicines Company’s contract with DLA Piper comprises 15 percent of that firm’s business. (The Medicines Company will later claim that it does not contract with any lobbying firms to influence anyone’s position on health care legislation.) Other “Astroturf” organizations such as Grassfire.org and its subsidiary, ResistNet, are also involved in combating reform. ResistNet bills itself as “[t]he online community for patriotic citizens who are opposing the Obama-led socialist agenda.” The home page of ResistNet’s Web site features a video entitled “Obama Equals Hitler.” ResistNet is run by Grassfire, which says it funds ResistNet as part of “our overall patriotic resistance efforts.” Stan expands her analysis to include media mogul Rupert Murdoch, whose NewsCorp owns Fox News. NewsCorp invests heavily in health industry firms, and, according to Stan, would profit by keeping reform from becoming law. Stan notes that one of Murdoch’s key hires was radio and former CNN host Glenn Beck. Beck was hired, Stan claims, to host a Fox News show and to organize a group called the 9/12 Project. Beck’s 9/12 Project, which, like Grassfire and ResistNet, serves as a “social networking” tool to bring together reform opponents, has been involved in a number of raucous anti-reform protests (see June 30, 2009 and August 6, 2009). Stan says the combination of these elements, along with what she calls “an oppressed-white-people narrative that has its roots in the origins of what used to be called the New Right,” has created the “perfect storm” of converging trends to create a chaotic and confrontational season for anti-reform protests and lobbyists. (Stan 8/10/2009; MSNBC 8/14/2009)
News Corporation, the parent company of Fox News, the Wall Street Journal, and the New York Post, donates $1 million to the Republican Governors Association (RGA). The News Corp. donation is accompanied by a $500,000 donation to the RGA from WellPoint, the US’s largest health insurer, and a “seven-figure donation” from oil billionaire David Koch (see 1981-2010). Organizations such as the RGA can accept unlimited donations from corporations, unlike political parties and federal candidates. (Salant 8/16/2010; Smith 8/16/2010; Kleefeld 8/17/2010; Shea 8/17/2010) News Corp. spokesman Jack Horner tells a reporter, “News Corporation believes in the power of free markets, and the RGA’s pro-business agenda supports our priorities at this most critical time for our economy.” (Smith 8/16/2010) Others are less sanguine about the donation. Hari Sevugan of the Democratic National Committee (DNC) says: “Any pretense that may have existed about the ties between Fox News and the Republican Party has been ripped violently away. Any Republican that appears on Fox should now have a disclaimer that they are financially supported by the network and any coverage of the elections this fall on Fox should be reported with disclaimer for what it is—partisan propaganda.” Nathan Daschle of the Democratic Governors Association (DGA) says: “For a media company—particularly one whose slogan is ‘fair and balanced’ (see 1995)—to be injecting themselves into the outcome of races is stunning. The people owning Fox News have made a decision that they want to see Democratic governors go down to defeat. It’s a jaw-dropping violation of the boundary between the media and corporate realm.” Daschle acknowledges that other media companies such as Disney and CBS have given much smaller donations to both Republicans and Democrats, but says: “The Fox contribution is in a completely different league. Other media firms’ donations are generally small and about equal to the many committees that receive money.” Until this donation, News Corp. had contributed almost equally to both Democrats and Republicans. Horner says, “It’s patently false that a corporate donation would have any bearing on our news-gathering activities at Fox News or any other of our properties.” Fox refuses to allow Daschle to appear on its network to discuss the donation, stating: “We understand Nathan’s desire to get face time on the most watched news network. And when he can offer insight on a legitimate news story instead of concocting a dishonest publicity stunt, we will consider having him on as a guest.” Communications professor Tobe Berkovitz says of the donation: “The way the rules are written, [News Corp. chairman Rupert Murdoch] is playing by the rules. This just reinforces for liberals how evil and manipulative Fox and Rupert Murdoch are. For the civilians out there, I don’t think they’re going to see this as particularly relevant or particularly important.” (Kurtz 8/18/2010) The progressive news Web site Think Progress determines that News Corp. may have violated its own policies by making the donation. According to the corporation’s “Standards of Business Conduct”: “No payment shall be made to, or for the benefit of, any public official in order to induce or entice such official to: enact, defeat, or violate any law or regulation for the company’s benefit; influence any official act; or obtain any favorable action by a governmental agency or official on behalf of the company.… No gifts in the form of cash, stock, or other similar consideration shall be given, regardless of amount.” (Terkel 8/17/2010)
Los Angeles Times columnist James Rainey discusses Fox News’s relentless promotion of its own employees for presidential office (see October 26, 2009 and September 27, 2010). Rainey notes that Fox contributors Sarah Palin (R-AK), Newt Gingrich (R-GA), Rick Santorum (R-PA), and Mike Huckabee (R-TN) are all using their appearances on Fox to groom themselves for the 2012 presidential race, with the apparent blessing and collusion of Fox News. Rainey writes, with some apparent sarcasm, “It’s easy to get news coverage, it turns out, when you work for a news company!” Other Republicans attempting to build momentum for their own 2012 bid, such as Minnesota Governor Tim Pawlenty, are being “shut out” of Fox’s promotional campaign. And other news networks—even C-SPAN—rarely get to interview Palin, Gingrich, Santorum, and Huckabee, as they are all under exclusive contract with Fox and do not appear on competing news providers. Some Republicans are discomfited by this situation, but, Rainey writes, they are “ma[king] their complaints quietly, lest they anger the powers at Fox.” Rainey goes on to note that the story is getting little attention outside political circles, “[b]ecause the information juggernaut built by Rupert Murdoch and Roger Ailes, once a GOP attack dog and now head of Fox News, has been tilting the playing field for so long, so persistently, and denying its bias so shamelessly that it’s created an alternate reality.” Rainey notes that Fox parent News Corp’s unprecedented multi-million dollar donations to Republican causes (see June 24, 2010 and After and September 30, 2010) have drawn relatively little criticism, even as Fox’s supposedly unbiased and nonpartisan news anchors and personalities (not its prime-time opinion makers) “routinely pound away at conservative talking points.” The other news networks spend their time on regular stories, Rainey writes, but Fox News spends so much “straight news” time covering non-existent “scandals” and promoting conservative causes that, in essence, it has created a conservative-friendly “alternate reality” for itself and its ideological colleagues. “One doesn’t even blink with surprise anymore when a Fox opinion program rolls out black-and-white newsreel footage of fascists,” he writes, “and with uniformly straight faces suggest that the Obama administration has America on the brink of a similar calamity.” Rainey rebuts claims that Fox News is merely countering the “shamelessly liberal” viewpoints of CNN and MSNBC. CNN, he writes, “has hewed relentlessly to the he-said-she said reporting imperative of old. The 24-hour news pioneer puts on alternative viewpoints, and not merely as whipping objects for ideological hosts. It’s aired multiple segments dissecting President Obama, his economic policies, and his plans for Afghanistan.” As for MSNBC, while its opinion shows are hosted by liberals, and Rainey believes that in some sense MSNBC may be trying to be a liberal version of Fox, its news broadcasts are relatively non-partisan. (Rainey 9/29/2010)
The press learns that News Corporation, the parent company of Fox News, has donated $1 million to the US Chamber of Commerce, one of the heaviest anti-Democratic advertisers in the 2010 midterm election campaigns. News Corp. previously donated $1 million to the Republican Governors Association (RGA—see June 24, 2010 and After), drawing criticism that its chairman Rupert Murdoch, and by extension Fox News and the other media outlets owned by Murdoch’s corporation (including the New York Post and the Wall Street Journal) are violating basic tenets of journalistic ethics by donating money to only one side in an election season. Fox News officials say they knew nothing of the donation until they learned of it through news reports. White House adviser David Axelrod says that while he believes Fox executives did not know of the donation, “it certainly sends a signal as to what the corporate position is.… If you’re pushing a point of view there, you wouldn’t take it as a disincentive to keep going.” The Democratic National Committee says in a statement, “What these contributions make clear is that the Republican Party is a division of News Corp., just as Fox News is a division of News Corp.” The Chamber of Commerce has promised to spend up to $75 million in anti-Democratic, pro-Republican campaign advertisements. (Smith 9/30/2010; Rutenberg 10/1/2010) Politico notes: “The parent companies of other media companies such as Disney (which owns ABC) and General Electric (which owns NBC) have also made political contributions, but typically in far smaller chunks, and split between Democrats and Republicans. In the past, News Corp. has also spread its donations between candidates of both parties.” (Smith 9/30/2010)
The US Chamber of Commerce (USCC), in a methodology made legal by the Citizens United Supreme Court decision (see January 21, 2010), uses foreign-generated funds to disseminate “attack ads” against Democrats running for office in the November midterm elections. The USCC has targeted, among others, Jack Conway (D-KY), Senator Barbara Boxer (D-CA), Governor Jerry Brown (G-CA), and Representatives Joe Sestak (D-PA) and Tom Perriello (D-VA). The USCC, a private trade association organized as a 501(c)(6) that can raise and spend unlimited funds without disclosing any of its donors, has promised to spend $75 million to prevent Democrats from winning in the upcoming elections. The USCC has, as of September 15, aired over 8,000 television ads supporting Republican candidates and attacking Democrats, according to information from the Wesleyan Media Project. The USCC has far outspent any other public or private group, including political parties. The funds for the USCC’s efforts come from its general account, which solicits foreign funding. Legal experts say that the USCC is likely skirting campaign finance law that prohibits monies from foreign corporations being spent in American elections. The USCC has been very active in recent years in raising funds from overseas sources, with such funds either going directly to the USCC or being funneled to the USCC through its foreign chapters, known as Business Councils or “AmChams.” Some of the largest donations come from the oil-rich country of Bahrain, generated by the USCC’s internal fundraising department in that nation called the “US-Bahrain Business Council” (USBBC). The USBBC is an office of the USCC and not a separate entity. The USBBC raises well over $100,000 a year from foreign businesses, funds shuttled directly to the USCC. A similar operation exists in India through the auspices of the USCC’s US-India Business Council (USIBC). The USIBC raises well over $200,000 a year for the USCC. Other such organizations exist in Egypt, Russia, China, Saudi Arabia, Brazil, and other countries, with those nations’ laws making it difficult or impossible for the public to learn how much money is being raised and by which foreign entities. Multinational firms such as BP, Shell Oil, and Siemens are also active members of the USCC, and contribute heavily to the organization. If those firms’ monies are going to fund political activities, the Citizens United decision makes it legal to keep that fact, and the amount of money being used to fund those political activities, entirely secret. It is known that the health insurer Aetna secretly donated $20 million to the USCC to try to defeat the Affordable Care Act (ACA) last year, and News Corporation, the parent of Fox News, donated $1 million to the USCC to use in political activities (see September 30, 2010). The USCC is a strong opponent of Democrats’ efforts to persuade American businesses to hire locally rather than outsourcing jobs to countries such as China and India, and has fought Democrats who oppose free trade deals that would significantly benefit foreign entities. The USCC claims that it “has a system in place” to prevent foreign funding for its “political activities,” but refuses to give any details. (Fang 10/5/2010)
The Columbia Journalism Review (CJR), responding to news of a second million-dollar donation to Republican causes by the parent corporation of Fox News (see June 24, 2010 and After and September 30, 2010), says that the donations may shift the way Fox News is perceived by the rest of the mainstream media and perhaps even the public. CJR’s Zachary Roth writes, “Until now, the rest of the media has largely treated Fox News as one of its own,” with other reporters defending Fox when it has been criticized by Obama officials and others. But, Roth writes, in making the donation, Fox News’s parent corporation News Corp. “has largely dropped the pretense” of being anything except a partisan enterprise. Roth notes that Los Angeles Times columnist James Rainey has written of a “new order” in which “Fox’s supposed news personalities—not just its prime-time opinion makers—routinely pound away at conservative talking points” (see September 29, 2010). And he cites Ben Smith of Politico, an online news provider often considered to tilt conservative, as advising fellow reporters to cover Fox “as the political actors they often are,” adding that “reporters don’t have to take Fox at its word on its own ‘balance’ any more than we have to take a politician at his word.” Roth concludes: “Wringing one’s hands at the decline of ‘objective’ journalism misses the point, because Fox can and will continue to do what it wants. What’s important, if only for the sake of simple accuracy, is simply that Fox comes to be seen for what it is. And it’s at least possible that this week’s news will start to make that happen.” (Smith 9/29/2010; Roth 10/1/2010)
Roger Ailes, a powerful Republican campaign consultant (see 1968, January 25, 1988, and September 21 - October 4, 1988) and the founder and chairman of Fox News (see October 7, 1996), calls President Obama a “socialist,” and says the campaign contributions by Fox News’s parent company are legal and ethical. Of Obama, Ailes says: “The president has not been very successful. He just got kicked from Mumbai to South Korea, and he came home and attacked Republicans for it. He had to be told by the French and the Germans that his socialism was too far left for them to deal with.… He just has a different belief system than most Americans.” Fox News does not “single out” Obama for criticism, Ailes claims, but is merely “more direct” in its reporting. Ailes says Fox is correct in painting Obama as an anti-American who harbors secret sympathies for Islamist terrorists; it is the other news outlets that fear to report the “truth.” Most of the press is “in love” with Obama, he says. Ailes says Fox’s ratings boost since the Obama election (see November 4, 2008) has nothing to do with the network’s relentless criticism of Obama and the White House. Fox currently leads both of its cable news competitors, CNN and MSNBC, in ratings. He says that he was “totally surprised” when Fox News’s parent, News Corporation (often abbreviated NewsCorp), donated $2 million to Republican campaign organizations (see June 24, 2010 and After and September 30, 2010), but says NewsCorp owner Rupert Murdoch has the right to donate money to whichever organization or candidate he chooses. As for criticism of the donations, Ailes says he knew that “lefties would use it to immediately try to damage Fox News.” (Kurtz 11/16/2010) Fox News commentators and hosts have frequently tarred Obama and his advisors as socialists, “Stalinists,” and “Marxists” (see October 27, 2008, January 2009, March 17, 2009, March 29, 2009, April 1-2, 2009, May 13, 2009, May 28, 2009, September 1, 2009, January 27, 2010, May 19, 2010, September 18, 2010, September 29, 2010, and October 26, 2010).
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