News Corp. expects to expand revenues from digital services

News Corp. expects to expand revenues from digital services

News Corp. Chief Executive Rupert Murdoch has said in a statement that they expect over 10 percent of the media company’s sales will likely come from its digital businesses in the next five years.

These revenues would come from their internet and telecom divisions.

He however excluded the potential earning capabilities of the company’s Internet properties owned by its local newspapers.

Murdoch said: “It’s probably the biggest profit driver we have. There’s no reason … given time … we won’t see it grow.”

He added that their social networking portal MySpace.com should account for about 2 percent of News Corp.’s fiscal 2007 sales.

The company is also soon expected to launch Fox Business Channel on cable television in the fourth quarter. This channel would compete with CNBC and other financial channels on the television.

Murdoch added that the company is planning to use MySpace as a distributor of TV shows and movies produced by Fox and other companies.