Franz Joseph I of Austria the Empire on 6 October 1908. However a diplomatic crisis erupted, as both the Serbs and the Italians demanded compensation for the annexation, which the Austro-Hungarian government refused to entertain. The incident was not resolved until the revision of the Treaty of Berlin in April 1909, exacerbating tensions between Austria-Hungary and the Serbs. On 28 June 1914 Franz Joseph's nephew and heir Archduke Franz Ferdinand, and his morganatic wife Sophie, Duchess of Hohenberg, were assassinated by Gavrilo Princip, a Yugoslav nationalist of Serbian ethnicity, during a visit to Sarajevo. When he heard the news of the assassination, Franz Joseph said
Ferdinand of Austria-Este Ferdinand of Austria-Este Archduke Ferdinand Karl of Austria-Este (1 June 1754 – 24 December 1806) was a son of Holy Roman Emperor Franz I and Maria Theresa of Austria. He was the founder of the House of Austria-Este and Governor of the Duchy of Milan between 1765 and 1796. He was also designated as the heir to the Duchy of Modena and Reggio, but he never reigned, owing to the Napoleonic Wars. Ferdinand was born at the Schönbrunn Palace in Vienna as the fourth son and fourteenth child of the Holy Roman Emperor Franz I and of his wife, Maria