Ethical Innovations: Embracing Ethics in Technology

Ethical Innovations: Embracing Ethics in Technology

Menu

Drahi's Secret Deal Threatens Channel 13's Independence

Len Blavatnik’s Access Industries has reached an agreement to sell shares in Israeli commercial television channel Reshet/Channel 13 to businessman Patrick Drahi, with Drahi expected to acquire an initial stake of roughly 14.99–15%. The deal was approved by Channel 13’s board and parties were reported to be preparing a principles agreement.

The transaction is structured so Drahi’s formal stake would be limited to 15%, while Channel 13’s CEO Emiliano Calemzuk is presented as the official majority owner and most of the capital for the transaction and future investments would come from Drahi or his family rather than from Altice. Reports value the transaction at about $40–50 million for the initial 15% stake and describe additional investment commitments to be designated for Channel 13; a rival consortium led by Assaf Rappaport reportedly offered larger staged investments, variously described as about $100 million, $120 million, or roughly $100 million over three years, while Drahi’s bid included an immediate injection reported as $25 million and other funds earmarked for stabilization and modernization.

Channel 13 has large operating losses cited as a factor in the sale decision, with figures reported of NIS 340 million in past losses and a projected further NIS 250 million in potential losses absent a turnaround. Opponents of the deal, including the Union of Journalists in Israel and civil society organizations, have petitioned the attorney general and the Israel Competition Authority and urged the Second Authority for Television and Radio to examine the transaction. They argue the arrangement may be a “fiction” intended to bypass Israel’s cross-ownership rules that prohibit cable infrastructure owners from holding more than 15% of a broadcast news channel and that Drahi could exercise effective control despite a 15% formal stake. They also raised concerns about “gun jumping” — any transfer of control or funds before regulatory approval — and said such actions could violate the Competition Law.

Channel 13 management has defended the deal, saying Drahi’s proposal was the stronger confirmed offer that would inject urgent funds and stabilize the channel; Access Industries said no political pressure affected the selection. Communications Minister Shlomo Karhi has met with Drahi’s representatives and has promoted legislation to change the cross-ownership ban. Opponents and some reports have said Len Blavatnik consulted Prime Minister Benjamin Netanyahu about past media investments and that government officials signaled faster approval for a sale to Drahi; those claims are presented in public reporting and by critics but are contested by Access Industries.

Journalists and staff at Channel 13 have expressed concerns about threats to editorial independence, potential merging or operational consolidation with Drahi-owned i24NEWS, and substantial workforce reductions; analysts and summaries of the proposals have estimated potential cuts on the order of up to about half of a combined news workforce of roughly 500 employees if a merger or integration occurred. The Union of Journalists has taken formal industrial-action steps, and newsroom committees have requested management pause negotiations over cuts until ownership is resolved.

Regulatory review is expected by the Second Authority for Television and Radio and the Israel Competition Authority, and legal challenges were reported to be prepared or filed. Critics also pointed to questions about Drahi’s broader financial position and recent asset sales abroad, citing high debt at Altice and related companies; supporters say the funding for the transaction and planned investment would come from Drahi or his family rather than from Altice. The sale remains contested and subject to regulatory approval and possible court review.

Original Sources: 1, 2, 3, 4, 5, 6, 7, 8 (merger) (debt) (layoffs) (scandal) (outrage) (corruption) (cronyism) (entitlement) (privilege) (polarizing) (explosive) (shocking) (investigation) (whistleblower)

Real Value Analysis

Overall judgment: the article reports a contested media sale with political, regulatory, and labor implications, but it offers almost no practical help to a normal reader. It is largely a news narrative about ownership, possible regulatory circumvention, and union response; it delivers context and accusations but few concrete, actionable steps someone outside the immediate stakeholders can use.

Actionable information The piece does not give clear steps, choices, or instructions that a typical reader could act on immediately. It outlines what different parties have done (board approval, union petitions, calls to regulators, threatened strikes), but it does not provide templates, contact information, or procedures a reader could follow to intervene, verify, or protect themselves. References to legal complaints and regulatory review are real-world actions, but the article does not explain how to file such complaints, how the regulatory process works in detail, or what rights employees, viewers, or advertisers have. In short, a reader who wants to do something useful (raise concerns, check ownership rules, prepare for layoffs) would not find concrete, step-by-step guidance in the text.

Educational depth The article supplies more than a headline-level summary: it names the key actors, states the proposed ownership structure, cites the cross-ownership limit and the term “gun jumping,” and gives financial loss figures that explain the urgency of a sale. However, it falls short on explanatory depth. It does not explain the legal basis or history of the cross-ownership rule, how “staged investment” differs from immediate capital injections in legal or practical terms, or what precise legal standards define “control” for competition law or criminal liability. Numbers are presented (losses of NIS 340m, projected further NIS 250m, offer structures of $120m staged vs $25m immediate), but the article does not unpack how those sums were calculated, the timelines, or why staged payments change the economics and legal assessment. Thus it teaches some facts but not the systems and reasoning needed to deeply understand regulatory, corporate governance, or labor-law implications.

Personal relevance For most readers the story is of limited direct relevance. It matters directly to Channel 13 employees, union members, advertisers, and possibly viewers concerned about editorial independence. It may matter indirectly to people interested in media plurality, government-business ties, or Israeli politics. But for ordinary readers outside those circles, the practical impact is low: the article does not present safety, health, or immediate financial risk to the general public. Where relevance exists (e.g., employees facing layoffs), the article reports the situation but offers no guidance those individuals can use to protect themselves.

Public service function The article performs a civic function by bringing attention to potential regulatory circumvention, political connections, and threats to editorial independence—matters of public interest. However, it stops short of providing actionable public-service guidance: it does not explain how citizens can submit evidence to regulators, how to monitor the regulatory review, or how to evaluate claims about editorial bias or mergers of newsrooms. It raises warnings but largely stays descriptive rather than prescriptive.

Practical advice and feasibility There is minimal practical advice in the article. The union’s actions (legal petitions, threat of strikes) are examples of practical responses available to affected employees and civil-society actors, but the piece does not describe the legal thresholds for success, timelines, or how to join or support such actions. Any implied steps are specific to stakeholders with legal standing; general readers are left without realistic, applicable next steps.

Long-term impact The article highlights potential long-term risks: media consolidation, editorial influence, and workforce reductions. But it does not provide readers with planning tools or strategies to respond over time. It does not, for example, suggest how viewers might track changes in news coverage, how employees might prepare financially or legally for job loss, or how civic groups can build sustained campaigns to protect media plurality.

Emotional and psychological impact The piece conveys alarm about editorial independence and job security, which can provoke anxiety among staff and concerned citizens. It provides some factual grounding for those concerns but offers little calming context or constructive actions to reduce helplessness. Readers are informed of the stakes but not shown how to respond, which may create frustration or powerlessness.

Clickbait and tone The article does not exhibit overt clickbait phrasing; it cites specific claims and actors. However, it relies on charged language from parties involved (calls the arrangement a “fiction,” refers to possible criminal consequences) without always supplying independent analysis or evidence that would help readers judge those claims. That reliance on dramatic accusations mildly increases sensational tone without adding substantiating detail.

Missed chances to teach or guide The article missed several opportunities to help readers understand or act. It could have explained the cross-ownership rule’s legal text and purpose, outlined what “control” means under competition and broadcast law, described how staged investments are treated in regulatory reviews, or summarized the usual procedure and timeline for competition and broadcast approvals. It could also have given practical guidance for employees (labor rights, unemployment preparation), for viewers (how to monitor editorial changes), or for civic groups (how to submit information to regulators or petition democratically). The article did not provide these instructive elements.

Useful, general steps and guidance the article failed to provide If you are an employee concerned about layoffs or changes to editorial independence, review your employment contract and any collective bargaining agreements you are covered by, document any directives that seem to alter your editorial role, and keep a clear personal record of communications about your duties and any threatened changes. Consult your union representative early to understand grievance procedures and legal protections; if you do not have union representation, seek basic legal advice from community legal aid or labor-rights organizations so you know deadlines for claims and severance entitlements. Build a simple financial contingency plan: list three months of essential expenses, identify nonessential spending to reduce, and prepare an updated resume and LinkedIn profile so you can begin outreach if needed.

If you are a concerned viewer or citizen worried about media plurality, track changes in the channel’s coverage over time rather than reacting to single stories. Compare reporting on the same major events across several independent outlets to spot shifts in framing or omitted facts. Use publicly available channels to raise concerns: read regulator guidance on how to submit complaints, send concise, evidence-based letters to competition and broadcast authorities, and consider coordinating with civil-society media-watch groups to amplify documented patterns rather than relying on claims alone.

If you are evaluating claims about ownership structures and potential legal circumvention, ask basic questions: who is the formal shareholder on record, who provides the capital, what decision-making rights attach to different share classes, and whether any side agreements grant de facto control despite a minority stake. Insist on documentary evidence for claims of “fictional” control before accepting them as fact. For public-policy issues, follow regulators’ published timelines and decisions rather than speculation, and support transparency by requesting access to filings or regulatory notices when those are publicly available.

If you want to assess the financial claims in such reporting, treat single figures with caution. Note whether losses are audited or internal projections, ask over what period losses accrued, and whether any rescue offers include conditions that affect editorial independence or employment. For nonexperts, prioritize verifiable, documented data over anonymous assertions and recognize that complex corporate financing often involves staged payments, covenants, and contingent obligations that change risk profiles.

These suggestions are general, practical, and do not require external databases or specific legal interpretations. They help individuals protect their employment and rights, evaluate media changes, and participate in civic oversight even when a news article reports events without giving concrete how-to guidance.

Bias analysis

"approved by Channel 13’s board despite a higher offer from a consortium of Israeli tech entrepreneurs led by Wiz CEO Assaf Rappaport." This line frames the board decision against a higher offer. It helps the tech group and criticizes the board but gives no board rationale. The wording suggests unfairness without showing why the lower bid won, favoring the tech bidders by omission.

"reportedly offered about $120 million in staged investment over three years, while Drahi’s bid included an immediate injection of $25 million." Calling the tech group's offer "staged investment" casts it as less real or trustworthy. The contrast with an "immediate injection" favors Drahi’s offer by implying urgency and solidity, using word choice that makes one option seem more credible.

"designed to limit Drahi’s formal stake to 15%, with Channel 13’s CEO Emiliano Calemzuk presented as the official majority owner, while Drahi would provide most of the capital." The phrase "presented as the official majority owner" and "would provide most of the capital" imply deception. These words lead readers to suspect a scheme without direct evidence, shaping perception that the structure is a sham.

"The Union of Journalists in Israel has petitioned the attorney general and the Competition Commissioner to block the deal, calling the arrangement a 'fiction' intended to bypass cross-ownership rules..." Quoting the union’s charged word "fiction" signals strong opposition. The sentence gives the union’s view prominent weight without presenting supporting facts, which privileges that critical perspective.

"claiming that government officials signaled faster approval for a sale to Drahi." The verb "claiming" distances the statement from fact and signals it is contested. That choice weakens the assertion while still relaying a politically loaded allegation, creating ambiguity about government involvement.

"Communications Minister Shlomo Karhi has met with Drahi’s representatives and is promoting legislation to remove the cross-ownership ban." Stating both the meeting and legislation together links the minister personally to a policy change that benefits Drahi. The order of facts suggests coordination and favors an interpretation of political influence without explicit proof.

"threats to editorial independence and the risk of merging Channel 13’s news division with Drahi’s i24NEWS, which critics say has shown alignment with the government’s narrative." Calling i24NEWS as "shown alignment with the government’s narrative" frames it as politically partial. This language supports the critics' concern and leans toward portraying the potential merger as politically harmful.

"Fears of widespread layoffs and workforce reductions have prompted a formal work dispute and preparations for strike action." The sentence emphasizes employee harm and collective action. The words frame the sale as threatening workers, which promotes sympathy for staff while not showing counterarguments or possible mitigations.

"Questions about Drahi’s financial position and recent asset sales abroad have also been raised by the union, which argued that his heavy debts make him an unsuitable owner..." Phrasing this as "questions" and "argued" shows the union’s charge but keeps it unverified. The wording highlights financial risk and portrays Drahi negatively by repeating the union’s assessment without evidence.

"Channel 13’s CEO defended Drahi as a stabilizing strategic investor, while legal challenges and regulator scrutiny mean the sale remains contested and unresolved." Using "defended" presents the CEO’s statement as reactive and possibly defensive. Juxtaposing that defense with "contested and unresolved" puts more weight on opposition and legal doubt than on the CEO’s supportive framing.

"urged to investigate potential 'gun jumping,' meaning any transfer of control or funds prior to regulatory approval, which the union’s lawyers warned could violate the Competition Law and carry criminal consequences." Including the technical term "gun jumping" and the phrase "could violate...and carry criminal consequences" raises legal alarm. This language amplifies risk and suggests criminality while attributing it to the union’s lawyers rather than stating it as established fact.

Emotion Resonance Analysis

The text conveys anger and indignation through phrases such as “petitioned the attorney general and the Competition Commissioner to block the deal,” calling the arrangement a “fiction,” and warning of criminal consequences for “gun jumping.” These words signal strong opposition from the Union of Journalists and its lawyers. The anger is fairly intense because it frames the proposed structure as deceitful and illegal, not just disputed. Its purpose is to mobilize regulatory action and public pressure, directing the reader toward concern about improper behavior and a desire for enforcement.

Fear and anxiety appear in multiple places: worries about “threats to editorial independence,” the “risk of merging Channel 13’s news division with Drahi’s i24NEWS,” “widespread layoffs,” and “workforce reductions.” These descriptions create a palpable sense of danger for staff and for independent journalism. The fear is moderate to strong because it ties job losses and loss of editorial autonomy to the sale, making the consequences concrete and personal. This emotion steers the reader toward sympathy for employees and apprehension about the future of the channel and news quality.

Suspicion and distrust are evident in references to attempts to “bypass cross-ownership rules,” reports that Blavatnik “consulted Prime Minister Benjamin Netanyahu,” signals of “faster approval for a sale to Drahi,” and the Union’s questions about Drahi’s “heavy debts.” The tone suggests secretive maneuvering and conflicted interests. The distrust is noticeable and functions to undermine confidence in the deal’s legitimacy and in the motives of powerful actors, prompting the reader to question whether the sale serves public interest or private advantage.

Urgency and alarm are communicated through wording about the channel’s “severe financial losses,” with specific figures (NIS 340 million losses and a projected further NIS 250 million). The inclusion of exact loss amounts and the description that the sale decision was “rapid” because of these losses give the situation immediacy and seriousness. The urgency is strong and aims to justify quick action by sellers while also prompting regulators and readers to respond quickly, either in favor of intervention or in skepticism of hasty decisions.

Skepticism about credibility and suitability surfaces in the union’s claims that Drahi’s financial position and recent “asset sales abroad” make him “an unsuitable owner.” This introduces a measured but critical appraisal of Drahi’s fitness to hold a major public outlet. The skepticism is moderate and seeks to erode trust in Drahi’s ability to maintain stable, independent operations, guiding readers to question the prudence of the sale.

Defensiveness and reassurance are present in Channel 13’s CEO’s defense of Drahi as a “stabilizing strategic investor” and in the board’s approval despite a higher offer from the tech consortium. These phrases try to counter accusations and present the decision as prudent and beneficial. The reassurance is mild to moderate; it functions to calm stakeholders and lend legitimacy to the transaction, aiming to persuade readers that the sale is rational and necessary.

Political maneuvering and opportunism are suggested by the notes that the Communications Minister “has met with Drahi’s representatives” and is “promoting legislation to remove the cross-ownership ban.” The language implies active political intervention to facilitate the deal. The emotional tone here is one of pragmatic calculation rather than explicit moral judgment; it engenders concern about power being used to change rules to suit a buyer, encouraging readers to view the sale as potentially engineered rather than organic.

A sense of conflict and contest is woven through the description of legal challenges, regulator scrutiny, a formal work dispute, and preparations for strike action. The repeated references to petitions, investigations, and legal warnings create a combative atmosphere. This conflict is moderately intense and serves to frame the story as a struggle between labor, regulators, the board, political figures, and prospective owners, prompting the reader to view the outcome as uncertain and contested.

The writer uses emotion to persuade by choosing charged verbs and phrases rather than neutral descriptions. Words like “bypass,” “fiction,” “threats,” “risk,” “petitioned,” and “gun jumping” carry moral and legal weight and are more emotionally engaging than neutral terms such as “structuring” or “reorganization.” The inclusion of specific, large financial figures amplifies urgency and seriousness, making the stakes tangible. Repetition of themes—financial distress, legal peril, political connections, and threats to independence—reinforces concern and distrust. Contrasting elements, such as the higher tech-group offer versus Drahi’s immediate cash injection, simplify complex choices into a moral or practical dilemma, steering readers to weigh short-term rescue against long-term control and ethics. Quoting institutional actors (the Union, the CEO, the Communications Minister) gives emotional claims authority, while describing potential criminal consequences raises the temperature and increases perceived risk. Together, these techniques heighten emotional response, focus attention on controversy, and push readers toward viewing the sale as both urgent and ethically fraught.

Cookie settings
X
This site uses cookies to offer you a better browsing experience.
You can accept them all, or choose the kinds of cookies you are happy to allow.
Privacy settings
Choose which cookies you wish to allow while you browse this website. Please note that some cookies cannot be turned off, because without them the website would not function.
Essential
To prevent spam this site uses Google Recaptcha in its contact forms.

This site may also use cookies for ecommerce and payment systems which are essential for the website to function properly.
Google Services
This site uses cookies from Google to access data such as the pages you visit and your IP address. Google services on this website may include:

- Google Maps
Data Driven
This site may use cookies to record visitor behavior, monitor ad conversions, and create audiences, including from:

- Google Analytics
- Google Ads conversion tracking
- Facebook (Meta Pixel)