British satellite broadcaster BSkyB, which is 35% owned by Rupert Murdoch, last night named the media tycoon's younger son James as its new head, risking a backlash from major shareholders.
'James Murdoch was appointed following the unanimous recommendation of a four-member nomination committee of non-executive board members,' the company said in a statement.
James Murdoch, 30, had been widely touted to replace the highly successful chief executive Tony Ball, who announced in September that he was stepping down.
'It is a privilege to have the opportunity to play a part in the company's future,' the young Murdoch said on his appointment.
But groups representing institutional shareholders have questioned whether the relatively inexperienced younger Murdoch is the right person for the job.
Rupert Murdoch said in a statement: 'The board and I are pleased that the nomination committee has completed its task and it is unanimous in its conviction that James is the right man for this job.' Rupert Murdoch, 72, is to remain the chairman of the BSkyB, the 18th biggest company on the London stock market.
Shareholders' groups have warned BSkyB that any promotion must be justified and be in the best interests of the company. Both the Association of British Insurers and the National Association of Pension Funds, which represent many of Britain's institutional shareholders, have expressed concerns at the succession process.
