News Corp's Julian Delany: A CTO for the Digital Age?

The appointment of Julian Delany as Chief Technology Officer (CTO) of News Corp marks a pivotal moment for the media giant. As the company transitions from a print-centric model to a technology-driven digital enterprise, Delany's role will be central to its ability to compete in an era dominated by tech giants like Meta and TikTok. This leadership change raises critical questions: Can Delany's vision for a “malleable technological backbone” deliver the growth and innovation needed to sustain shareholder value? And how might this shift reshape News Corp's trajectory in the coming years?

The Delany Blueprint: Unifying Technology and Audience-Centric Strategy

Delany's ascent to CTO reflects News Corp's recognition of a stark reality: the future of media lies in the seamless integration of technology and content. His mandate is to unify the company's global technological infrastructure, enabling scalability across brands such as The Wall Street Journal, The Australian, and Realtor.com. This “network effect” strategy aims to harmonize data and processes, reducing redundancies and unlocking synergies that could boost efficiency and profitability.

Delany's track record suggests he is up to the task. Having pioneered digital-first newsroom operations at news.com.au and managed News Corp Australia's digital networks, he has already demonstrated an ability to drive growth. Since 2020, digital revenue at News Corp has surged by nearly 20%, now constituting a majority of total revenue—a testament to his prior leadership. His vision for AI tools like NewsGPT (for content generation) and Story Cutter (for automated editing) signals an emphasis on augmenting—not replacing—human creativity, a balance critical to preserving the company's editorial integrity while cutting costs.

The Innovation Pipeline: AI and Mobile-First Strategies

The success of Delany's initiatives hinges on execution. Take Realtor.com: its AI-driven recommendations have already boosted mobile traffic by 30% and profitability by 19% in Q3 2025. Similarly, the Wall Street Journal's subscription growth—surpassing 6 million—demonstrates the power of digital monetization when paired with high-quality content. These gains underscore a replicable model: leveraging data and automation to personalize content delivery, thereby deepening audience engagement and ad revenue.

Yet challenges loom. Competitors like TikTok and Meta are aggressively muscling into the content space, leveraging vast user data and algorithmic prowess. Delany's strategy to prioritize first-party data collection and ethical AI frameworks—while avoiding “tech debt” through cross-functional collaboration—could be the company's best defense. The integration of Oxford Analytica and Dragonfly Intelligence, acquired to bolster data analytics, further signals a commitment to outpacing rivals through proprietary insights.

Financial Health and Valuation: A Stock Underappreciated?

News Corp's financials present a compelling case. With a market cap of $19.06 billion and a stock price of $33.72 (as of June 2025), the company trades at 14.2x forward earnings—a discount to its five-year average of 16.5x. This undervaluation suggests the market has yet to fully price in the potential of Delany's initiatives. Key catalysts include:
1. Dow Jones Monetization: Targeting 7+ million subscriptions could unlock $500 million in annual revenue.
2. Realtor.com's Housing Play: With the U.S. housing market valued at $1.5 trillion, its AI-driven platform is positioned to capture a growing slice of this pie.
3. Global Tech Integration: Streamlining operations across 30+ countries could reduce costs and improve margins.

Analysts project a potential 20%+ upside over 12–18 months, citing News Corp's robust balance sheet—bolstered by the $724 million Foxtel sale—and investment-grade ratings. These factors reduce financial risk, allowing Delany to invest aggressively in tech without compromising stability.

Risks and Mitigations

No strategy is without risk. Over-reliance on AI could alienate audiences if perceived as sacrificing quality for efficiency. Delany's emphasis on “audience-centric solutions” aims to mitigate this, but execution remains key. Additionally, regulatory scrutiny of data practices—a global concern—requires adherence to evolving standards.

The departure of former CTO David Kline also raises questions about succession planning. Delany's relocation to New York, however, signals a strategic realignment toward the company's global headquarters, fostering closer alignment with its U.S. divisions, which account for the bulk of its revenue.

Investment Thesis: A Buy on Value and Vision

News Corp's stock presents a compelling opportunity for investors seeking exposure to a media company nimbly adapting to the digital age. Delany's appointment is not merely a leadership change but a bet on his ability to transform News Corp into a tech-first media conglomerate. With a discounted valuation, strong cash flows, and clear growth levers, the stock could outperform peers in the coming quarters.

For long-term investors, the company's diversified revenue streams—spanning news, real estate, and data—offer resilience against sector-specific downturns. Short-term traders might consider a wait-and-see approach, tracking progress on AI integration and subscription targets. Either way, Julian Delany's tenure will likely be remembered as a turning point in News Corp's evolution—or its undoing.

In a media landscape where tech dominance reigns, News Corp's future hinges on its ability to marry old-world journalism with new-world innovation. Delany's track record suggests he's the right architect for this transition—but the blueprint is still being written.

Disclaimer: This analysis is for informational purposes only. Investors should conduct their own due diligence before making financial decisions.