News Corp announced Wednesday that it plans to spend $3 billion to buy news and media properties for about $2 billion.
The acquisition includes News Corp-owned NBCUniversal, which is the world’s largest television network.
The company is buying a majority stake in CNN, which owns the CNN website and apps, and a stake in Bloomberg News.
News Corp said the transaction will include a combined news and entertainment network and content services, as well as a digital-first news and social media platform.
News has had a difficult time keeping pace with the rapid expansion of the Internet and social networks.
But with a number of recent acquisitions including HBO, Netflix and Amazon, the company is also investing heavily in its media assets, including its cable and digital platforms.
The purchase also puts the company in a position to compete with rivals that are looking to make similar moves.
“News Corp’s commitment to build a stronger and more diverse media landscape will be evident as we continue to focus on our strategy of building our core businesses and making sure that we provide the best digital and social content,” News Corp CEO Kevin Roberts said in a statement.
“The News Corp. family of businesses will continue to provide our shareholders with the opportunity to invest in their businesses with confidence that we will be able to do so in the future.”
The news and sports network will focus on sports and other events, and it will be a unit of News Corp owned Viacom, which also owns MTV, Nickelodeon and other television properties.
“We are very excited about the news and news media businesses in News Corp and we look forward to working with News Corp on these companies for years to come,” Viacomm CEO Richard Plepler said in the statement.
The news network is expected to have assets of $2.7 billion in revenue in 2021, including $1.9 billion in advertising.
The network will continue as part of News Corporation’s News Corp News Network (NBCSN) division.