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Reuters Group
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Reuters Group plc was a British multinational media and financial information company headquartered in London, United Kingdom. It was acquired by the Thomson Corporation in 2008, forming Thomson Reuters, and moved its head office to Toronto.
Key Information
Reuters Group was best known for the Reuters news agency, which was the original business of the company. By the time of its acquisition by Thomson, the bulk of Reuters Group's revenues came from the provision of financial market data, with news reporting comprising less than 10% of its revenue.[1]
History
[edit]Beginnings
[edit]

Paul Reuter noticed that, with the electric telegraph, news no longer required days or weeks to travel long distances. In the 1850s, the 34-year-old Reuter was based in Aachen – then in the Kingdom of Prussia, now in Germany – close to the borders with the Netherlands and Belgium. He began using the newly opened Berlin–Aachen telegraph line to send news to Berlin. However, the telegraph did not extend the 76 miles (122 km) to Brussels, Belgium's capital city and financial center. Reuter saw an opportunity to speed up news service between Brussels and Berlin by using homing pigeons to bridge that gap.[2]
In 1851, Reuter moved to London. After failures in 1847 and 1850, attempts by the Submarine Telegraph Company to lay an undersea telegraph cable across the English Channel, from Dover to Calais, promised success. Reuter set up his "Submarine Telegraph" office in October 1851 just before the opening of that undersea cable in November, and he negotiated a contract with the London Stock Exchange to provide stock prices from exchanges in continental Europe in return for access to the London prices, which he then supplied to stockbrokers in Paris. In 1865, Reuter's private firm was restructured, and it became a limited company (a corporation) called the Reuter's Telegram Company Limited. Reuter had been naturalised as a British subject in 1857.[3]
Reuter's agency built a reputation in Europe for being the first to report news scoops from abroad, such as Abraham Lincoln's assassination.[4]
The last surviving member of the Reuters family founders, Marguerite, Baroness de Reuter, died at age 96 on 25 January 2009, after having suffered a series of strokes.[5]
Initial public offering (IPO)
[edit]Reuters was financed as a public company in 1984 on the London Stock Exchange and on the NASDAQ in the United States. However, there were concerns that the company's tradition for objective reporting might be jeopardised if control of the company later fell into the hands of a single shareholder. To counter that possibility, the constitution of the company at the time of the stock offering included a rule that no individual was allowed to own more than 15% of the company. If this limit is exceeded, the directors can order the shareholder to reduce the holding to less than 15%. That rule was applied in the late 1980s when Rupert Murdoch's News Corporation, which already held around 15% of Reuters, bought an Australian news company that also owned stock in Reuters. Murdoch was subsequently compelled to reduce his holdings to less than 15%.[citation needed]
Further protecting Reuters from owner actions that might threaten its independence is Reuters Founders Share Company Limited, formed in 1984 as part of the share float. This company's stated mission is to protect the integrity of the company's news output. It holds one "Founders Share", which can veto all other shares if an attempt is made to alter any of the rules relating to the Reuters Trust Principles. These principles set out the company's aims of independence, integrity, and freedom from bias in its news reporting.[6] Subsequent to the forming of Thomson Reuters the trust principles continued, with the RFSC now holding a Founders Share in each of Thomson Reuters Corporation and Thomson Reuters PLC.[citation needed]
Post-IPO expansion
[edit]Reuters grew rapidly after its 1984 IPO, widening the range of its business products and global reporting network for media, financial and economic services. In 1988, Reuters formed a joint-venture with the Chicago Mercantile Exchange to build an automated futures trading system named "Globex" at a cost of over US$100 million.[7] Key product launches include Equities 2000 (1987), Dealing 2000-2 (1992), Business Briefing (1994), Reuters Television for the financial markets (1994), 3000 Series (1996) and the Reuters 3000 Xtra service (1999). In the mid-1990s, the Reuters company engaged in a brief foray in the radio sector – with London Radio's two radio stations, London News 97.3 FM and London News Talk 1152 AM. A Reuters Radio News service was also set up to compete with the Independent Radio News. In 1995, Reuters established its "Greenhouse Fund" to take minority investments in start-up technology companies, initially in the US, only. In October 2007, Reuters Market Light, a division of Reuters, launched a mobile phone service for Indian farmers to provide local and customised commodity pricing information, news, and weather updates.[citation needed]
Acquisition by Thomson
[edit]On 15 May 2007, Canada's The Thomson Corporation acquired Reuters in a deal valued at US$17.6 billion.[8] Thomson controlled about 53 per cent of the new company, named Thomson Reuters. Tom Glocer, the former head of Reuters became the CEO of Thomson Reuters.[9] An earlier rule of 15-per cent maximum ownership was waived; the reason as given by Pehr Gyllenhammar, the chairman of the Reuters Founders Share Company, as that the "future of Reuters takes precedence over the principles. If Reuters were not strong enough to continue on its own, the principles would have no meaning."[note 1] citing the recent bad financial performance of the company. The acquisition was closed on 17 April 2008.[11]
Acquisitions and investments
[edit]- Action Images – In September 2005, Reuters purchased North London-based Action Images, a collection of sports photography of more than 8 million images, of which 1.7 million are online.[citation needed]
- Application Networks – In June 2006, Reuters acquired Application Networks, Inc., a provider of trade and risk management software based on JRisk, and agreed to acquire Feri Fund Market Information Ltd (FERI FMI) and its fund database subsidiary, FI Datenservice GmbH (FID).[12]
- AVT Technologies – In December 2002, Reuters announced that it would acquire AVT Technologies, a specialist in foreign exchange transaction technology. Concurrent with the deal, Reuters established an Automated Dealing Technologies business unit, headed up by Mark Redwood, CEO of AVT Technologies.[citation needed]
- Bridge Information Systems – On 28 September 2001, it completed the largest acquisition in its history with a partial acquisition of Bridge Information Systems Inc. Also during the year, the Group acquired 100% of Diagram fip SA and 92% of ProTrader Group LP. In October 2001, the Group disposed of its majority stake in VentureOne Corp.[citation needed]
- ClearForest – In June 2007, Reuters acquired ClearForest,[13] a provider of text analytics, whose tagging platform and analytical products allow clients to derive business information from textual content.
- EcoWin – In November 2005, Reuters acquired EcoWin, a Gothenburg (Sweden)–based provider of global financial, equities, and economic data.[citation needed]
- Factiva – In May 1999, Reuters entered a joint venture with rival Dow Jones & Company to form Factiva,[14] a business news and information provider. In December 2006, Reuters sold its 50% share in Factiva to Dow Jones, who is now sole owner.[15]
- Instinet – After taking a minority stake in Instinet in 1985, Reuters acquired the entire company in 1987. In May 2001, Reuters sold a minority stake in the firm via an IPO on NASDAQ, and in December 2005 sold the remainder of its share to NASDAQ and Silver Lake Partners.[citation needed]
- Multex.com Inc. – In March 2003, Reuters acquired Multex.com, Inc., a provider of global financial information.[citation needed]
- StarMine Corporation—In January 2008, Reuters acquired StarMine Corporation, a provider of equity research tools and quantitative analytics.[16]
- TIBCO Software – In July 1999, TIBCO Software completed an IPO on NASDAQ; Reuters retains a substantial proportion of the shares. Reuters announced, in early 2000, initiatives designed to migrate core business to an internet-based model.[citation needed]
Corporate locations
[edit]From 1939, corporate headquarters were in London's famous Fleet Street in a building designed by Sir Edwin Lutyens. In 2005, Reuters moved to a larger building in the more modern Canary Wharf. The Reuters Building at 30 South Colonnade is near the One Canada Square tower, Jubilee Park and Canary Wharf tube station. The open space below the Reuters building has since been renamed Reuters Plaza.[citation needed]
The company's North American headquarters are located in Hoboken, New Jersey. and were previously located at the Reuters Building at 3 Times Square, New York. It is on Seventh Avenue between 42nd and 43rd Streets, and was constructed from 1998 to 2001.[17]
The Asian headquarters were located in Singapore, having moved there from Hong Kong ahead of the British handover to China in 1997 (Thomson Reuters retains offices here at ICBC Tower and Cityplaza 3). It had two offices in Singapore, one in the city centre at One Raffles Quay, and another at 18 Science Park Drive next to the National University of Singapore.[citation needed]
Notes
[edit]References
[edit]Citations
[edit]- ^ "Reuters – About Reuters – Investor Relations". Market Update & News Provided by Reuters.com. Archived from the original on 3 February 2003.
- ^ "The Long History of Speed at Reuters". thomsonreuters.com. Retrieved 18 February 2025.
- ^ Lennon, Troy (21 July 2016). "Bank clerk Paul Reuter turned old news into news of the day". The Daily Telegraph. Retrieved 28 March 2025.
- ^ Byron, Robert (27 June 2016). The Road to Oxiana: New edition linked and annotaded (in Brazilian Portuguese). MarcoPolo. ISBN 9789898575685.
- ^ "Baroness de Reuter, last link to news dynasty, dies". ABC News (Australia). Reuters. 26 January 2009. Archived from the original on 30 January 2009. Retrieved 21 February 2009.
- ^ "The Trust Principles". thomsonreuters.com. Retrieved 25 January 2012.
- ^ What is an exchange?: the automation, management, and regulation of Financial Markets, Rueben Lee
- ^ "Thomson in Talks to Buy Reuters for $17.6 Billion". 8 May 2007. Retrieved 25 January 2012.
- ^ "Reuters agrees to Thomson buyout". 15 May 2007. Retrieved 25 January 2012.
- ^ Aussie guardian for agency's ethics | The Australian
- ^ "Thomson completes acquisition of Reuters". Thomson Reuters. Archived from the original on 19 August 2010. Retrieved 15 January 2014.
- ^ "Reuters to Acquire European Fund Research Specialist". news.taume.com. 29 June 2007. Archived from the original on 1 October 2011.
- ^ "Text Analytics Solutions from ClearForest". clearforest.com. Archived from the original on 7 August 2018. Retrieved 31 August 2011.
- ^ "Factiva, a Dow Jones & Reuters Company". factiva.com. Archived from the original on 25 July 2011.
- ^ "Dow Jones Completes Acquisition of Full-Ownership of Factiva". dowjones.com. 15 December 2006. Archived from the original on 3 January 2007.
- ^ "Reuters Buys StarMine • Integrity Research". Integrity Research. 22 August 2007. Retrieved 14 April 2022.
- ^ "The Reuters Building". Wirednewyork.com. Archived from the original on 2 December 2010. Retrieved 3 October 2010.
Sources
[edit]- Read, Donald (1992). The Power of News: The History of Reuters 1849–1989. Oxford, England: Oxford University Press. ISBN 0-19-821776-5.
- Mooney, Brian; Simpson, Barry (2003). Breaking News: How the wheels came off at Reuters. Capstone. ISBN 1-84112-545-8.
External links
[edit]- Official website of Thomson Reuters
Reuters Group
View on GrokipediaOverview
Founding and Primary Operations
Reuters was founded in 1851 by Paul Julius Reuter, a German immigrant who established the agency in London to deliver timely commercial and financial news.[5] Reuter, originally named Israel Beer Josaphat, had previously experimented with pigeon-based messaging in continental Europe before relocating to England and opening an office at 1 Royal Exchange Building in the city's financial district, with initial assistance from an 11-year-old office boy.[5] [8] In its early years, Reuters bridged communication gaps by employing a fleet of over 200 carrier pigeons alongside emerging telegraph technology, including the Dover-Calais submarine cable completed in 1851, to transmit stock market quotations and news between London and Paris.[5] This hybrid system enabled rapid dissemination of information where telegraph lines were incomplete, prioritizing speed to serve subscribers in banking and journalism.[9] By focusing on factual reporting without opinion, the agency quickly gained trust for its impartiality, supplying data to newspapers and financial entities across Europe.[5] The primary operations of Reuters functioned as a wire service news agency, specializing in commercial telegrams, stock prices, and market intelligence rather than general news initially, with an emphasis on accuracy and neutrality to uphold credibility among paying clients.[5] This model relied on direct sales of news feeds to media outlets and institutions, avoiding direct publication to maintain independence, a principle that distinguished Reuters from editorial competitors.[10] Over time, these operations expanded but retained core commitments to verifiable facts and technological innovation for global reach.[5]Transition to Diversified Media Entity
In the 1970s, Reuters began shifting from its traditional role as a news wire service toward financial information provision, launching the Reuter Monitor Dealing Service in 1973, which created an electronic marketplace for foreign exchange trading and expanded to include real-time news and price data for securities and commodities.[11] This innovation marked an early step in diversification, as it leveraged Reuters' existing news infrastructure to deliver actionable data to financial institutions, generating revenue through subscriptions rather than solely syndicating content to media outlets. By 1977, the service had grown to serve over 100 banks, demonstrating the viability of technology-driven financial products amid rising global trading volumes.[12] The 1980s accelerated this transition with heavy investments in electronic trading systems and data terminals. Reuters introduced the Dealing 2000-2 system in 1981, enabling automated foreign exchange transactions, and expanded into money market and bond trading platforms, which by mid-decade accounted for a significant portion of revenues.[12] The company's initial public offering on the London Stock Exchange in 1984, raising approximately £130 million, provided capital for further expansion into financial software and real-time analytics, transforming Reuters into a hybrid media-technology firm.[13] This period saw internal tensions, as journalists expressed concerns over the profit-driven focus potentially compromising news integrity, though management emphasized that financial services complemented rather than supplanted core reporting.[14] During the 1990s, Reuters pursued strategic acquisitions to broaden its portfolio beyond news into integrated information solutions. Notable deals included the 1991 purchase of Quotron Systems for $295 million, enhancing real-time financial data delivery in the U.S., and a minority stake in Instinet, the first electronic trading network, which bolstered capabilities in institutional trading.[12] The establishment of the Greenhouse Fund in 1995 facilitated investments in startups focused on data analytics and multimedia delivery, while internal product development targeted emerging markets like derivatives pricing.[13] By the late 1990s, financial data and technology services comprised over 80% of revenues, with news operations serving primarily as a feeder for these products, solidifying Reuters' evolution into a diversified entity prioritizing high-margin information services for global finance.[12]Historical Foundations
Establishment and Early Innovations (1851–1900)
Paul Julius Reuter, originally named Israel Beer Josaphat, initiated the foundations of what became Reuters in April 1850 by establishing a service for disseminating news and stock prices using carrier pigeons to connect Aachen, Germany, with Brussels, Belgium, where a gap existed in the telegraph network.[1] This operation utilized 45 trained pigeons provided by Heinrich Geller to achieve transmission speeds surpassing available alternatives.[15] In 1851, following his relocation to London amid political unrest in continental Europe, Reuter founded Reuters by opening a telegraph office at 1 Royal Exchange Buildings near the Stock Exchange, employing an 11-year-old office boy as his initial staff and concentrating on commercial telegrams, particularly stock market data.[5] Reuters' early model emphasized velocity in information delivery, leveraging the electric telegraph and residual pigeon relays to outpace competitors in financial intelligence.[1] The successful laying of the Dover-Calais submarine cable in 1851 enabled direct telegraph links across the English Channel, diminishing reliance on pigeons while amplifying Reuters' capacity for real-time European market updates.[16] Reuter's fleet of carrier pigeons eventually expanded beyond 200 birds, serving as a backup for urgent dispatches until telegraph infrastructure matured.[9] By the 1860s, Reuters had evolved into an international news agency, supplying European newspapers and brokers with a mix of commercial, political, and general intelligence transmitted via expanding cable networks.[10] Innovations included the adoption of abbreviated codes to minimize telegraph costs and transmission times, alongside a commitment to factual neutrality that distinguished the agency amid rival partisan outlets.[17] In 1871, operations relocated to 24 Old Jewry in London's City district, coinciding with Reuter's ennoblement as a baron by Duke Ernst II of Saxe-Coburg-Gotha, reflecting the agency's growing stature.[15] Through the late 19th century, Reuters extended its reach by forging alliances with continental agencies and exploiting successive transatlantic and intra-continental cables, solidifying its role in global news arbitrage by 1900.[1]Interwar and World War II Developments
In the interwar period, Reuters operated under the autocratic leadership of Roderick Jones, who served as managing director from 1916 to 1941 and prioritized cost control amid financial pressures.[12] The agency struggled to maintain its pre-World War I dominance against expanding American competitors, including the Associated Press and United Press, without government subsidies, leading to reduced overseas staffing and reliance on cooperative arrangements with other agencies.[12] Ownership shifted as the Press Association acquired a majority stake in 1925 and full control by 1930, excluding Jones's personal shares of 1,000, which helped stabilize finances but reinforced cooperative ties with British newspaper interests.[12] Technological advancements supported Reuters' news and financial services, including the establishment of a trade department in 1920 for commercial intelligence, Morse code dissemination of price quotations starting in 1923, introduction of teleprinters for London newspapers in 1927, and adoption of the Hellschreiber facsimile system in 1934 for image transmission.[12] In July 1939, Reuters relocated its headquarters to a new purpose-built facility at 85 Fleet Street in London, enhancing operational efficiency on the eve of war.[18] During World War II, Reuters continued news operations despite wartime censorship restrictions on private telegrams and elevated costs for global coverage, maintaining its role in disseminating battlefield reports through embedded correspondents and alliances with Allied forces.[12] In 1941, amid concerns over potential government or proprietary influence during the conflict, Reuters established the Trust Principles in agreement with its shareholders, the Press Association and Newspaper Proprietors' Association, to mandate integrity, independence from bias, and protection from control by any single interest or faction.[3] Jones resigned that year, leading to the formation of the Reuter Trust—jointly owned by the Press Association and Newspaper Proprietors' Association—to oversee governance and uphold these principles, marking a shift toward institutionalized safeguards for editorial autonomy.[12]Expansion and Modernization
Post-War Growth and Technological Advancements
Following World War II, Reuters experienced significant growth under the leadership of general manager Christopher Chancellor during the 1940s and 1950s, shifting emphasis toward economic and financial news services to offset the decline of traditional imperial markets amid decolonization.[12] In 1941, the Reuter Trust was established, with ownership shared between the Press Association and Newspaper Proprietors’ Association to safeguard operational independence, a structure reinforced in 1947 when the Australian Associated Press and New Zealand Press Association joined as stakeholders.[12] This period saw Reuters expand its network of foreign correspondents and bureaus globally, including support for rebuilding European news agencies, while revenue remained modest compared to U.S. rivals like the Associated Press, which held four times Reuters' earnings in 1945.[19][12] Technological advancements accelerated in the late 1950s and 1960s, transitioning from reliance on cable, radio, and teletype systems to early computerized tools for faster data dissemination. Telex and teleprinter networks, widely adopted post-war for reliable international transmission, enabled Reuters to handle increased volumes of economic intelligence amid rising global trade.[12] In 1959, Walton Cole succeeded Chancellor, further strengthening the news file, before Gerald Long assumed leadership in 1963 when annual profits reached £51,000.[12] Key innovations included the 1964 launch of Stockmaster, a desktop quotation system developed with Ultronic Systems Corporation to deliver real-time market data, marking an early step into automated financial services.[12] By the late 1960s, Reuters implemented the Automatic Data Exchange (ADX) in 1968, a computerized message-switching system in London that streamlined internal communications and bureau coordination, supporting bureau expansions in Asia and elsewhere.[12] These developments positioned Reuters for revenue surges, eventually surpassing United Press International in 1975 and the Associated Press in 1978, driven by demand for timely economic reporting in a recovering global economy.[19] The focus on verifiable financial data, rather than general news, proved causally pivotal, as post-war liberalization of currencies and markets increased the value of speed and accuracy in information flows.[12]1980s–2000s Restructuring and Challenges
In the early 1980s, Reuters underwent significant internal restructuring to adapt to technological shifts and expanding financial markets, including the development of electronic data transmission systems and the launch of Reuters Monitor, a dealing service for foreign exchange and money markets introduced in 1981 that relied on dedicated hardware to mitigate system failures. This period saw the company centralize development efforts amid staff reductions in support teams, dropping from 100 developers in 1980 to a handful by 1984, as it pivoted toward real-time financial data products. By 1984, Reuters transitioned from its cooperative ownership model—shared among media subscribers—to a public company through an initial public offering on the London Stock Exchange, raising approximately £200 million (equivalent to about $309.8 million in U.S. depository shares), which enabled further investment in diversification beyond traditional news agency services into transaction products and trading systems.[20][21][11] The late 1980s featured a formal reorganization in 1989, categorizing operations into five core areas: real-time information, transaction products, trading room systems, historical databases, and media services, which supported revenue growth to around $340 million by 1983 with projected earnings of $75 million, driven by demand for financial terminals like the Reuters Dealing service. However, this expansion brought challenges, including vulnerability to market volatility and competition in electronic trading, as Reuters' profit margins, while increasing into the early 1990s, faced pressure from emerging rivals offering integrated data and analytics. In the 1990s, a major internal overhaul in 1990 dismantled many product-specific groups in favor of centralized development, reflecting struggles to integrate rapid technological advancements like Dealing 2000 for computerized foreign exchange brokering.[12][22][23] Entering the 2000s, Reuters encountered intensified challenges from the dot-com bust and aggressive competition, particularly from Bloomberg, which eroded market share in financial terminals and exposed over-reliance on high-margin transaction revenues that plummeted post-2000 bubble. The company reported its first net loss since the 1984 IPO in the first half of 2002, at £84 million ($132.6 million), prompting cost-cutting measures, including layoffs and divestitures, as free online news proliferation threatened its wholesaler model while paid financial data services faced pricing pressures. These difficulties culminated in strategic vulnerabilities, setting the stage for the 2007 agreement with Thomson Corporation—announced on May 15—for a $17 billion merger completed in April 2008, forming Thomson Reuters to consolidate strengths in news and analytics amid declining standalone viability.[24][25][12][26][27]Financial and Ownership Evolution
Initial Public Offering and Market Listing
Reuters Holdings PLC, the holding company for Reuters, underwent an initial public offering in 1984, converting from private ownership by a consortium of international newspaper publishers to a publicly traded entity.[22] This flotation enabled broader capital access for expansion amid growing demand for financial data services.[28] Shares were primarily listed on the London Stock Exchange, with trading beginning in early June 1984 following regulatory approvals and prospectus filings.[29] Concurrently, the offering extended to the United States through American Depositary Receipts (ADRs), initially planned for 8.3 million units equivalent to 49.8 million shares but scaled back, with NASDAQ trading starting on June 4, 1984.[30] The dual listing reflected Reuters' global operations and aimed to attract international investors, supporting projected net income growth of nearly 28 percent to $58 million for the year, based on prevailing exchange rates.[31] The IPO structure preserved certain governance elements from its prior cooperative model, including trust principles safeguarding editorial independence, while diluting the founding press associations' stakes.[11] This public status persisted until 2008, when Thomson Corporation acquired Reuters Group PLC to form Thomson Reuters, after which the entity delisted from both the London Stock Exchange and NASDAQ in 2009 to consolidate under a unified structure.Revenue Streams and Economic Performance
Reuters Group's primary revenue streams derived from financial market data and services, which accounted for over 90% of total revenue by the mid-2000s, encompassing real-time information feeds, electronic trading platforms such as the Dealing service introduced in 1981, and trading room systems like the Reuter Monitor Money Rates from 1973.[12] [32] Secondary streams included research and asset management tools, enterprise solutions for risk management and compliance, and media products comprising news agency services and consumer digital platforms, which represented approximately 7% of revenue in 2007.[32] By 2007, recurring revenues from subscriptions to terminals and software maintenance constituted 92% of the total, with usage-based transaction fees and outright sales of information products forming the remainder.[32] The company's economic performance exhibited robust expansion in the 1980s and 1990s, driven by the proliferation of electronic trading terminals, which grew from 47,000 units by 1985 to supporting annual revenue growth exceeding 15% through 1995.[33] Revenues surged from under $1 billion in 1986 to $2.7 billion in 1991 and $4.2 billion by 1995, while net income rose from $119 million in 1986 to $430 million in 1991 and $642 million in 1995, reflecting high profit margins peaking at 24% in the early 1990s.[12] This period's success stemmed from dominance in foreign exchange and financial data distribution, bolstered by innovations like the Markets 3000 series in 1996.[12] In the 2000s, performance stagnated amid intensifying competition from rivals like Bloomberg and disruptions from internet-based information dissemination, leading to revenue plateaus and share price declines.[12] Total revenues reached £3.2 billion in 2003 but showed only modest underlying growth of 7% to £2,605 million in 2007, with segments like Sales & Trading contracting 2.5% amid credit market cyclicality and regulatory shifts such as MiFID.[12] [32] Operating profit improved to £292 million in 2007 through restructuring initiatives like Fast Forward and Core Plus, which addressed operational inefficiencies, though profit before tax dipped to £273 million due to £45 million in merger-related costs and currency headwinds.[32] These pressures culminated in the 2008 acquisition by Thomson Corporation for £8.7 billion, as Reuters sought scale to counter competitive erosion in financial data markets.[33]| Year | Total Revenue | Key Segment: Sales & Trading (£m) | Net/Operating Profit Notes |
|---|---|---|---|
| 1986 | <$1B (USD) | N/A | Net income $119M |
| 1991 | $2.7B (USD) | N/A | Net income $430M |
| 1995 | $4.2B (USD) | N/A | Net income $642M |
| 2003 | £3.2B | N/A | N/A |
| 2006 | £2,566M | £1,661M | Operating profit £256M |
| 2007 | £2,605M | £1,619M | Operating profit £292M |
Strategic Acquisitions and Investments
Major Takeovers and Partnerships
In the 1980s, Reuters expanded into television news by acquiring control of Visnews Ltd., an international television news agency in which it had held a minority stake since 1959.[12][28] That same year, Reuters purchased the picture service of United Press International, enhancing its visual content capabilities.[12] A significant partnership emerged in 1999 when Reuters and Dow Jones formed Factiva as a 50-50 joint venture to combine their data retrieval and archival businesses, providing aggregated news and business information from multiple sources.[34] Reuters later sold its stake to Dow Jones in 2006 for $160 million, retaining a content supply agreement.[35][36] Reuters pursued strategic investments through its Greenhouse Fund, established in 1995 to take minority stakes in U.S. startup technology companies, aiming to integrate innovative tools into its financial data services.[11] The early 2000s saw Reuters' largest acquisition to date on September 28, 2001, when it purchased key assets of the bankrupt Bridge Information Systems, Inc., for approximately $373 million, gaining a substantial U.S. customer base and real-time market data infrastructure.[37][38] This deal bolstered Reuters' position in North American financial terminals amid competitive pressures from rivals like Bloomberg.[39] In December 2004, Reuters agreed to acquire Moneyline Telerate for $175 million in cash and stock, completing the deal in 2005 after regulatory approvals that required divestitures to address antitrust concerns in fixed-income data markets.[40][41][42] The acquisition added over 3,500 customers and strengthened Reuters' offerings in bonds, foreign exchange, and money markets.[43] Additional moves included the 1998 acquisition of Lipper Analytical Services' fund information business, expanding Reuters' coverage of mutual fund and global fund data.[44] These transactions reflected Reuters' focus on bolstering data and analytics amid rising competition in financial information services, though integration costs and market shifts sometimes tempered short-term gains.[45]Focus on Data and Financial Services
Reuters Group's financial data services originated in its foundational role disseminating stock market quotations via telegraph cables between London and Paris starting in 1851.[5] This early emphasis on timely financial information evolved with technological advancements, positioning the company as a pioneer in real-time data delivery for markets. By the mid-20th century, Reuters had integrated computerized systems to transmit financial data across oceans, marking one of the first news agencies to do so in the 1960s.[46] A pivotal development occurred in 1964 with the launch of Stockmaster, a desktop market-quotation system that provided traders with direct access to price data.[12] This was followed in 1973 by the Reuter Monitor Money Rates service, which delivered real-time financial rates and created an electronic marketplace for foreign exchange trading.[5][12] In 1981, the Reuter Monitor Dealing service enabled currency trades directly through video terminals, revolutionizing interbank dealing by automating quote requests and executions.[5][12] These Monitor products formed the backbone of Reuters' trading room systems, emphasizing low-latency data feeds and transaction capabilities that catered to institutional clients in banking and investment.[12] The 1990s saw further specialization with the introduction of Dealing 2000, a computerized matching service for foreign exchange rates that reduced manual intervention in trades.[5] Reuters also rolled out the 3000 series terminals in 1996, including [Markets 3000](/page/market data) for broad market data, Treasury 3000 for government securities, Securities 3000 for equities and bonds, and Money 3000 for short-term instruments, integrating real-time information, analytics, and execution tools.[12] These platforms competed directly with emerging rivals like Bloomberg, capturing significant market share in financial terminals used by traders for data aggregation, news integration, and order routing. By 1991, Reuters' overall revenues reached $2.7 billion, with financial services driving much of the growth through transaction products and historical databases.[12] Strategic investments bolstered this focus, notably Reuters' majority stake in Instinet, an early electronic communications network founded in 1969 for anonymous securities trading.[47] Reuters held 62% of Instinet by 2005, leveraging it to expand into algorithmic trading and dark pool execution for equities, which generated substantial returns upon partial divestment that year, netting approximately $1 billion after taxes and fees.[48] Later acquisitions, such as EcoWin in 2005 for $40 million, enhanced global economic data capabilities, adding historical and real-time datasets for econometric analysis.[49] These moves underscored Reuters' shift toward a data-centric model, where financial services—encompassing real-time feeds, analytics, and trading infrastructure—accounted for a dominant portion of revenues by the early 2000s, reflecting a deliberate pivot from pure news to integrated information ecosystems for capital markets.[12]Editorial Framework and Global Reach
Commitment to Impartiality and Trust Principles
The Trust Principles of Reuters were established in 1941 during World War II by the Newspaper Proprietors Association and the Press Association to safeguard the agency's independence amid risks of censorship and government influence on news dissemination.[3] These principles form the cornerstone of Reuters' commitment to impartiality, mandating that news gathering and reporting prioritize integrity over commercial or political pressures.[50] They were formalized to ensure Reuters remained a neutral conduit for information, serving newspapers and later expanding to financial and global audiences without allegiance to any single entity.[51] The five Trust Principles explicitly outline obligations for unbiased operations:- Thomson Reuters shall at no time pass into the hands of any one interest, group, or faction.[52]
- The integrity, independence, and freedom from bias of Thomson Reuters shall at all times be fully preserved.[3]
- Thomson Reuters shall supply unbiased and reliable news services to newspapers, news agencies, broadcasters, and other media subscribers, businesses, governments, and the general public.[50]
- Thomson Reuters shall pay due regard to the many interests it serves, in addition to the media.[3]
- No effort shall be spared to expand, develop, and adapt Thomson Reuters' services and use its expertise in such a way as to maintain its leading position in the field of news and information.[52]
Operational Structure and Correspondent Network
Reuters Group's news operations were structured hierarchically, with a central editorial team in London overseeing global coordination, supported by regional managing editors and specialized desks for beats such as politics, business, and international affairs. Bureau chiefs in major cities directed local teams, ensuring alignment with the agency's trust principles while allowing autonomy in sourcing and initial reporting. This framework facilitated the rapid aggregation and verification of dispatches from the field, distributed through proprietary wire services to media clients and financial terminals.[54] The correspondent network formed the backbone of this structure, comprising approximately 2,500 journalists and 600 photojournalists operating out of around 200 bureaus worldwide during the Group's independent era.[57] These bureaus were strategically located in political capitals, financial hubs, and conflict zones, with full-time staff supplemented by vetted stringers for supplemental coverage in under-resourced areas. Coverage extended to over 160 countries, producing multilingual content that emphasized factual, on-the-ground reporting over opinion.[58] Operational efficiency relied on technological integration, including satellite uplinks and early digital transmission systems by the 2000s, which minimized delays in correspondent filings. Regional hubs, such as those in Washington, D.C., and Singapore, handled preliminary editing and prioritization, feeding vetted stories to the global wire while maintaining editorial standards through cross-verification protocols. This network's scale and decentralization enabled Reuters to outpace competitors in breaking news velocity, though it occasionally strained resources during simultaneous global crises.[5]Controversies and Critiques
Allegations of Reporting Biases
Reuters has been rated as minimally biased and highly reliable by independent media evaluators, with Ad Fontes Media assigning a bias score of -1.32 (middle/centrist) and a reliability score of 44.96 (reliable, fact-reporting).[59] AllSides rates it as leaning slightly left (-0.85), based on editorial reviews and blind surveys where Democrats and independents viewed it as center while Republicans perceived a lean left tilt.[60] These assessments reflect Reuters' general adherence to factual reporting, though partisan divides highlight perceptions of subtle ideological slants in selection and framing. Allegations of left-leaning bias have centered on editorial decisions and personnel conduct, particularly in coverage of Israel-Hamas conflicts and U.S. elections. In 2024, conservative media watchdog HonestReporting documented social media activity by senior Reuters editors, including Executive Editor Simon Robinson's endorsement of a 7,500-word essay in the London Review of Books criticizing Western media's Israel coverage post-October 7, 2023, and Global Foreign Policy Editor Samia Nakhoul's reposts defending BBC journalists who praised the Hamas attacks.[61] Critics argued these actions indicated systemic anti-Israel predispositions among leadership, potentially influencing impartiality in Middle East reporting.[61] Separately, in a September 2020 special report, Reuters portrayed lawyers challenging U.S. election results as promoting unfounded fraud claims, which the Heritage Foundation critiqued as a personalized hit piece that downplayed legitimate concerns about voting irregularities.[62] Conversely, internal whistleblowers have accused Reuters of pro-Israel bias in Gaza coverage, as detailed in a 2025 Declassified UK investigation citing anonymous employees. An internal analysis of 499 reports from October 7 to November 14, 2023, revealed disproportionate resources allocated to Israeli perspectives despite UN-verified Palestinian casualties vastly outnumbering Israeli ones (approximately 11,000 Palestinian deaths in that period).[63] Staff highlighted editorial restrictions, such as prohibiting the term "Palestine" in datelines and limiting "genocide" to contexts including Israel's denials, with underreporting of estimates like The Lancet's projection of up to 186,000 Gaza deaths from indirect effects.[63] These claims prompted an August 2024 resignation by a desk editor citing misalignment with company values after an ignored open letter to management.[63] Declassified UK, known for critiquing Western foreign policy, sourced these from multiple employees requesting anonymity due to fear of reprisal.[63] Additional critiques have targeted environmental reporting, with a 2023 analysis by The Baron alleging Reuters reflexively attributed hurricane events to human-induced climate change without sufficient causal evidence, embedding advocacy phrasing like "at a time of human-induced global warming."[64] Such patterns, observers contend, reflect broader institutional pressures in mainstream journalism toward progressive narratives on climate issues, though Reuters maintains editorial guidelines prohibiting opinion in news wires.[64] These disparate allegations underscore tensions between Reuters' trust principles and real-world applications amid polarized global events.Specific Incidents of Errors or Editorial Decisions
In August 2006, amid the Israel-Lebanon War, Reuters freelance photographer Adnan Hajj digitally altered images, including one exaggerating smoke from an Israeli airstrike in Beirut by cloning plumes and another depicting an Israeli F-16 fighter jet with added flares. Reuters terminated its relationship with Hajj, retracted the manipulated photos, removed 920 of his images from its database, and conducted an internal review leading to stricter photo manipulation policies. Hajj denied intentional alteration, but the incident drew widespread criticism for undermining visual journalism standards.[65][66][67] In September 2022, Reuters retracted an article originally published on September 8 claiming that corn ethanol production generated higher greenhouse gas emissions than gasoline, following evidence that the piece misrepresented lifecycle analyses and ignored peer-reviewed data showing ethanol's net reductions. The retraction note cited inaccuracies in sourcing and interpretation, amid debates over biofuel environmental impacts.[68] In May 2022, Reuters issued a report attributing a misquoted statement from Qatar's foreign minister to Al Jazeera, distorting the minister's remarks on regional diplomacy; Al Jazeera demanded a full retraction, labeling it an editorial error that falsely implicated their coverage. Reuters corrected the piece but faced accusations of hasty attribution without verification.[69] In February 2025, Reuters retracted a February 11 news alert containing a truncated quote and misleading context on a Middle East security incident, admitting flaws in timing and sourcing that amplified unverified claims before full corroboration. The agency updated its guidelines on rapid alerts to prioritize accuracy over speed in volatile regions.[70]Merger with Thomson Corporation
Negotiation and Regulatory Approval
The merger negotiations between Thomson Corporation and Reuters Group PLC commenced in early 2007, with Thomson, a Canadian information services provider, approaching Reuters to propose an acquisition aimed at combining their complementary financial data and news operations. On May 15, 2007, the companies announced a definitive agreement under which Thomson would acquire Reuters in an all-share transaction valued at approximately $17.2 billion, representing a 42 percent premium over Reuters' closing share price prior to the deal's disclosure.[71][72][73] The terms involved Thomson shareholders receiving new shares in the combined entity, structured to maintain Thomson's controlling interest through its ownership of the Woodbridge Company, while Reuters shareholders would hold about 43 percent of the new Thomson Reuters Corporation.[6] This friendly deal followed Reuters' exploration of strategic options amid competitive pressures in financial information services, with both boards recommending approval to shareholders after due diligence confirmed synergies in data analytics and global news distribution.[74] Regulatory scrutiny focused on antitrust concerns in markets for real-time financial data and news, given the merged entity's potential dominance over rivals like Bloomberg. The transaction was notified to the European Commission under the EU Merger Regulation on September 2007, following initial Phase I review; the Commission approved it on February 19, 2008, subject to commitments by Thomson Reuters to divest specific assets, including its 35 percent stake in the FTSE Group and certain financial software tools, to preserve competition in index licensing and data vendor services.[75][76] In the United States, the Department of Justice granted clearance on the same date without requiring divestitures, concluding the merger would not substantially lessen competition after evaluating overlaps in wire services and market shares below thresholds for concern.[77][6] Canadian regulators, including the Competition Bureau, also approved the deal concurrently, citing minimal domestic competitive impacts due to the global scope of operations.[78] These approvals, obtained after addressing competition authority queries on vertical integration risks in news-to-data pipelines, cleared the path for closing without protracted litigation.[77]Integration and End of Independent Operations
The acquisition of Reuters Group PLC by The Thomson Corporation was finalized on April 17, 2008, marking the end of Reuters Group's operations as an independent publicly traded entity. Under the terms agreed in May 2007, Reuters shareholders received 352.5 pence in cash and 0.16 shares in the newly formed Thomson Reuters PLC for each Reuters share, with Thomson Reuters ordinary shares commencing trading on the New York Stock Exchange and Toronto Stock Exchange that day. This transaction dissolved Reuters Group's standalone corporate structure, integrating it fully into Thomson Reuters, which became the combined company's legal and operational framework.[6] Post-merger integration began immediately, focusing on unifying financial data platforms, sales operations, technology systems, and back-office functions to leverage synergies between Thomson's specialized information services and Reuters' global news and data capabilities. Integration programs, initiated in 2008, incurred significant costs for planning and execution, including the consolidation of overlapping roles and infrastructure. By March 2009, Thomson Reuters completed the unification of its dual-listed company structure, streamlining governance and listing solely on the NYSE and TSX under the TRI symbol.[79][5] The integration process concluded its major phases by the end of 2011, as stated by then-CEO Tom Glocer, with the company achieving operational cohesion across its markets division, which combined Reuters' real-time data feeds with Thomson's analytics tools. While the Reuters news agency brand continued under Thomson Reuters, governed by the pre-existing Trust Principles to safeguard editorial independence from commercial influences, the original Reuters Group's autonomous decision-making and financial reporting ended with the 2008 absorption, shifting control to the Thomson family's majority-owned Woodbridge Company.[80][81]Corporate Infrastructure
Headquarters and International Presence
Reuters Group maintained its corporate headquarters in London, United Kingdom, until its 2008 merger with Thomson Corporation to form Thomson Reuters. The Reuters news agency's editorial headquarters remain in London at 30 South Colonnade, Canary Wharf, a location to which operations were relocated from Fleet Street in the late 1980s and consolidated in the 1990s.[5][82] Thomson Reuters, the parent company, has its global corporate headquarters in Toronto, Ontario, Canada, at 19 Duncan Street, reflecting the influence of the Thomson family's Canadian base post-merger.[83][84] Reuters sustains a broad international presence through offices and correspondent networks in key global cities, including New York at 3 Times Square and Singapore at 1 Raffles Quay, enabling coverage from over 200 locations worldwide. The organization employs thousands of journalists and support staff across more than 75 countries, supporting its role as a major news provider.[85][86][87]Key Leadership Figures
Paul Julius Reuter, born Israel Beer Josaphat in 1816, established the Reuters news agency in London in 1851 after pioneering news transmission via pigeons and early telegraphs between European cities.[28] As managing director until 1878, he expanded operations to key global outposts, including Alexandria in 1865 and Bombay in 1866, formalizing the agency as Reuter's Telegram Company Limited in 1865 to deliver financial and general news.[28] Subsequent family and non-family leaders maintained expansion amid challenges. Herbert de Reuter succeeded as managing director from 1878 to 1915, enhancing journalistic standards but facing financial strains from diversification into advertising and banking, culminating in his suicide amid World War I pressures.[28] Roderick Jones, the first external managing director from 1916 to 1941, privatized the agency in 1916 and upheld its reputation for neutrality during conflicts like the Boer War and World War I.[28] Post-World War II figures drove modernization. Gerald Long served as managing director from 1963 to 1981, introducing computerized services such as Stockmaster in 1964 and the Reuter Monitor Money Rates in 1973, alongside the Dealing service in 1981, which propelled profit growth.[28] Glen Renfrew, managing director from 1981 to 1991, oversaw the 1984 initial public offering as Reuters Holdings PLC (later Reuters Group PLC), acquired video news provider Visnews Ltd. in 1985, and doubled revenues to over $2.7 billion by 1991 through expanded data services.[28] In the Reuters Group PLC era, Peter Job led as chief executive from 1991 to 2001, emphasizing internal innovation and launching Reuters New Media Inc. in 1993 amid the internet shift, with revenues reaching $4.2 billion by 1995.[28] [88] Tom Glocer succeeded as CEO from 2001 to 2008, implementing cost-cutting measures like the 2001 transformation program (eliminating 4,000 jobs) and the 2003 Fast Forward initiative to adapt to digital competition, culminating in the merger with Thomson Corporation.[28] [89]| Name | Position | Tenure |
|---|---|---|
| Paul Julius Reuter | Managing Director | 1851–1878 |
| Herbert de Reuter | Managing Director | 1878–1915 |
| Roderick Jones | Managing Director | 1916–1941 |
| Gerald Long | Managing Director | 1963–1981 |
| Glen Renfrew | Managing Director | 1981–1991 |
| Peter Job | Chief Executive | 1991–2001 |
| Tom Glocer | Chief Executive | 2001–2008 |

