Fox Corp is making a decisive move into the booming podcast and creator economy with its acquisition of Red Seat Ventures. The digital media services company works with high-profile “independent” creators—including former Fox News hosts Tucker Carlson, Megyn Kelly, and Bill O’Reilly—helping them develop direct-to-consumer podcasts and digital content.
Red Seat will operate as an independent entity under Fox’s Tubi Media Group, which houses Fox’s free streaming service Tubi, signaling a broader shift in the company’s digital media strategy. While financial terms weren’t disclosed, the deal underscores Fox’s commitment to expanding its digital-first offerings beyond traditional pay TV.
Why Podcasting Is Booming—And Why Media Companies Are Paying Attention
The acquisition of Red Seat Ventures is part of a larger trend: media companies scrambling to diversify as audience consumption habits shift away from linear TV and cable. The podcast industry, in particular, has emerged as a powerful alternative to traditional media, with a growing share of news and entertainment consumption happening via on-demand audio and video formats.
Here’s why the podcast and creator-led media market is thriving:
- Audience Growth: Podcast listenership has surged in recent years, with over 40% of Americans listening to at least one podcast per month. Younger audiences, in particular, are turning to podcasts for news, analysis, and entertainment.
- Trust & Personal Connection: Unlike traditional media, podcasts foster a more intimate connection between hosts and listeners. Valerie Wirtschafter of the Brookings Institution notes that podcast hosts are perceived as trusted voices—more like “friends” than news anchors.
- Ad Revenue & Monetization Potential: The U.S. podcast advertising market exceeded $2 billion in 2023 and is projected to keep growing. As brands look for ways to reach engaged, niche audiences, podcasts offer a lucrative opportunity for monetization through both advertising and direct subscriptions.
- Decentralization of Media: As trust in mainstream media fluctuates, audiences are gravitating toward independent voices who deliver content directly through platforms like YouTube, Spotify, and Apple Podcasts. This shift has empowered personalities to build their own brands outside of traditional media corporations.
Legacy Media Needs to Diversify—Fast
For legacy media companies like Fox, which have historically dominated the cable TV space, the shift toward podcasting and digital-first media isn’t just an opportunity—it’s a necessity. The traditional pay TV model is in decline, with cord-cutting accelerating at a record pace. As younger consumers ditch cable subscriptions in favor of on-demand and streaming content, companies must adapt or risk losing relevance.
Fox’s Tubi unit, which surpassed 97 million monthly active users at the end of 2024, has been a bright spot in the company’s streaming efforts. By integrating Red Seat Ventures into the Tubi Media Group, Fox is reinforcing its commitment to digital media, betting on creator-led programming as a key growth area.
Tubi Media Group CEO Paul Cheesbrough emphasized the strategic importance of the deal, stating:
“The creator economy is one of the fastest-growing media categories worldwide by measure of reach and influence, and consumers are increasingly looking to get their information, insights, and entertainment directly from the voices and brands they trust.”
Chris Balfe, CEO of Red Seat Ventures, echoed this sentiment, saying that aligning with Fox will allow the company to expand its services while maintaining the independence and integrity of its creators’ brands.
The Take
The acquisition positions Fox to tap into one of the fastest-growing sectors in media while also providing a digital home for its former TV talent. While Carlson, Kelly, and O’Reilly won’t be rejoining Fox News, their continued partnership with Red Seat Ventures keeps them loosely connected to the company’s ecosystem.
More importantly, the deal signals Fox’s increasing emphasis on personality-driven, cross-platform programming—blurring the lines between traditional media and the independent creator economy.
Looking ahead, the industry should expect more legacy media players to make similar moves. Whether through acquisitions, partnerships, or new in-house ventures, companies that fail to embrace the shift to digital-first content risk being left behind in an evolving media landscape.
Fox, it seems, is determined not to make that mistake.
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