Conservative news operator Australian Digital Holdings purchases 7 Southern Cross Austereo's television assets

The new owner of 7 Tasmania has pledged to invest in local news content and retain existing staff positions. However, some employees have expressed concerns about the acquisition. Southern Cross Austereo announced on Thursday that it had entered into a binding purchase agreement with Australian Digital Holdings (ADH) to sell its television assets in Tasmania, Spencer Gulf, Broken Hill, Mount Isa, Darwin, and remote, central, and eastern Australia for A$6.35 million.

7 Tasmania's "Nightly News" program is the state's highest-rated news broadcast, with over 70,000 viewers each night and employing approximately 30 staff. James Morrison, a director of Australian Digital Holdings (ADH), stated that he hopes to build on the station's existing success, calling it "a great business," and emphasizing that ADH has no plans for large-scale changes. Mr. Morrison said: "There is no question that 7 Tasmania is an exceptional television station and is considered nationally to be the television station with the largest commercial share."

Mr. Morrison further stated: "Look at the numbers, they tell you everything. Therefore, we will invest in local news, and I think it is necessary to add more news content." ADH was founded by Jack Bullen in 2021 and is known for its conservative broadcasting and streaming profile. Former Sky News host Alan Jones launched an hour-long program with ADH in 2021, but it has since been discontinued. ADH has also launched an Australian branch of the American right-wing media company Newsmax.

Current 7 Tasmania employees have expressed concerns to the Australian Broadcasting Corporation (ABC) regarding the ADH acquisition. One employee stated that they felt "deflated" and worried about "editorial interference," despite public assurances to the contrary. Another employee felt their integrity was "under threat" and expressed concerns about the future and local content. They stated: "We work tirelessly day in and day out to provide our state with up-to-date, critical, and fact-based balanced news."

Mr. Morrison dismissed claims that ADH is a conservative media outlet, stating that the news service will be independent and operate separately from Newsmax. He said: "Only those who don't really understand the company would say that. Frankly, personal opinions don't matter when operating a news service, and the audience will quickly see that." Claire Konkes, a senior lecturer in media and communications at the University of Tasmania, stated that ADH is "quite right-wing" in its agenda.

Dr. Konkes stated: "They are quite neoliberal in their pro-business, anti-regulation agenda, and they are known for climate change denial." She said it was encouraging to see continued investment in local news, but in a concentrated media market like Tasmania, it was important to monitor the influence of large corporations. She added: "You have this vacuum, and if someone can step in, they set the agenda and frame how we understand local issues."

Dr. Konkes warned: "If they do that irresponsibly or with a particular agenda, then it does create a certain level of problem for a community to remain cohesive and not divided." She likened ADH's potential power to the growing influence of Tasmanian lobbying firm Font PR, which owns an increasing number of regional newspapers, a podcast, and now Tasmanian polling firm EMRS. "Tasmanians are seeing a changing landscape, and as I say to my students, you should always consider who owns, who bought that media organization, and what they want to get out of it."

The acquisition comes at a time of uncertainty for local media services nationwide. 7 Tasmania's "Nightly News" is the only commercial television news program produced in Tasmania, while WIN has been producing from Wollongong since 2018. Australian Community Media, the owner of "The Advocate" and "The Examiner," recently stated that it would consider reducing the print editions of its national newspapers to once a week. In 2023, Southern Cross Austereo canceled its Spencer Gulf 7 News program produced at its Hobart office.

Mr. Morrison stated that it was "a great moment for media" that an Australian company was supporting local media organizations. He said: "This is not a consolidation, but a private Australian company determined to invest in these places." Tasmanian Liberal Senator Jonno Duniam stated that this was a huge win for Tasmania and the state's media landscape. He said: "We are facing a situation where news services are being cut, through no fault of our own. Thankfully, through this acquisition, we will see an expansion of Tasmanian news coverage."

Currently, 7 Tasmania's news output is limited to a one-hour flagship news program, as well as brief local news updates throughout the day—the midday and afternoon news programs mimic 7's Melbourne or Sydney programs. Mr. Morrison, also a former Channel 7 network executive, stated that all existing employees—approximately 30 positions—would be retained, and he would consider making investments. He added: "For a long time, there has been a practice of staff 'churn'—this is not a criticism, it's just reality."

The 7 Tasmania news service has traditionally been a stepping stone for young reporters and cameramen—many of whom have gone on to more prominent positions at commercial television stations or the Australian Broadcasting Corporation (ABC). Mr. Morrison said: "This used to be where people started—I hope it can also be where people want to stay."