Succession issues have dogged News Corp’s Rupert Murdoch for years. On the eve of Murdoch’s take over of WSJ publisher Dow Jones, he answered them.

Murdoch’s younger son James is set to return to the company to head its Asian and European operations, putting him in line to take over the family empire.

 At least for now, he takes the pole position ahead of elder brother Lachlan and sister Elisabeth. But consider how less than two years ago Lachlan was seen in the same light. There is also no sign Rupert’s planning an exit any time soon.

James will rejoin the News Corp. board and step down as chief executive of Britain’s pay-TV firm BSkyB, but remain with BSkyB as non-executive chairman, replacing his 76-year-old father. BSkyB Finance Director Jeremy Darroch will become CEO.

The announcement from News Corp on Friday is seen as a wider shake up and aggressive expansion of the media conglomerate which spans newspapers, film studios, television networks and Internet properties such as MySpace.

On Thursday, Dow Jones Chief Executive Richard Zannino will leave the company once its acquisition by News Corp is done. News Corp executive Les Hinton was also named Chief Executive of Dow Jones & Co (DJ.N: Quote, Profile, Research) by Friday.
(Reuters) (James Murdoch profile)

Keep an eye on:

• Digital security company Macrovision said it agreed to buy Gemstar-TV Guide in a cash-and-stock deal worth about $2.8 billion, a move that it says will help speed up the delivery of home entertainment services. (Reuters)
• What’s Apple going to do with its $15 billion cash pile? (Fortune)
• Moviebeam’s dead. Again. (paidContent)

(Photo: Reuters / James Murdoch in Beijing, 2003)