News Corp withdraws bid for BSkyB

[The Don]

Rupert Murdoch's News Corporation has withdrawn its bid for satellite broadcaster BSkyB in the wake of the phone-hacking scandal. News Corp, which also owns the Sun and the Times newspapers as well as its 39% shareholding in BSkyB, said it will continue to be a long-term shareholder in the company.

Chase Carey, deputy chairman, president and chief operating officer of News Corp, said: "We believed that the proposed acquisition of BSkyB by News Corporation would benefit both companies but it has become clear that it is too difficult to progress in this climate." Shadow culture secretary Ivan Lewis said the "remarkable" development was "a victory for the public of this country, a victory for Parliament and a victory for the tremendous leadership that Ed Miliband has shown ever since this scandal emerged".

Mr Lewis said it was important that the criminal investigation and judge-led inquiry continue regardless of the bid being withdrawn.

He told the BBC: "What we mustn't allow this announcement to do is to end the need to get to the bottom of this unethical and criminal behaviour that has so damaged our newspaper industry and has also threatened to undermine our democracy."

Former deputy prime minister Lord Prescott, who believes his phone was hacked by the News of the World, sent a message on Twitter saying: "BSkyB bid over. PCC to be abolished. Senior News International staff arrested. Inquiry into police and press on its way. Yep. I'm happy."

BSkyB shares fell another 1% to 683.5p, having been 850p earlier this month on hopes of a deal with News Corp. They have slumped in recent days amid the hacking scandal and after Culture Secretary Jeremy Hunt referred the proposed bid to the Competition Commission for further investigation.

Pressure on Mr Murdoch intensified on Tuesday when Prime Minister David Cameron joined all-party demands for the media mogul to drop the bid. News Corp tabled its 700p-a-share approach for the 61% of BSkyB that it does not currently own in June last year, a move which valued the FTSE 100 Index company at around £12 billion.

[GommeInc]

Right, now I am confused. What has Ed Milliband got to do with anything? His leadership in what? The scandals have been going on for ages, with the reappearance this month. As far as I am aware he is just sitting in the corner talking to Millie Dowler's family about the scandal, with 99% of the other people effected being talked to by other media outlets and the Government. So I'm not sure what Milliband has done or when he suddenly became the "lead investigator" into the scandals.

It's interesting how no one in News Corp has nothing worth while to say, and that there doesn't appear to be any shame. Murdoch is a rediculous business man anyway. He only owns a business, he doesn't know how to run it. He's like a blind, deaf captain on a ship filled with a diverse number of pirates, most of which are criminals :/

[cocaine]

the competition commission would have never allowed the takeover anyway. news corp. would have become too powerful and consumers' welfare would have decreased probably

[-:Undertaker:-]

I would love the competition commission to look into the BBC.

[jam666]

Dans right, the BBC is a bloated state funded media trap. I don't even watch the BBC (give me my license fee back please?). I wasn't particulary bothered about News Corps bid for BSKYB as they said Sky News would remain seperate for atleast 10 years, but after they announced that will no longer happen, I'm pleased the deal has fallen through as the only other 24hour news channel in the UK apart from BBC News is Sky News (It's always on in my house lmao) ITV news folded many years ago and to see sky news die-off (because it does not make a profit) would be terrible, not only for me but for the country as its the only opposition to the BBC bias.

[Conservative,]

Lol yeah the BBC need checking out. They're striking today as well. -.- But it's also annoyingly left-wing. Fair enough if it was privately owned, but it's not, it's supposed to be mutual and represent all ideals and beliefs. Right....

[Shar]

Lol yeah the BBC need checking out. They're striking today as well. -.- But it's also annoyingly left-wing. Fair enough if it was privately owned, but it's not, it's supposed to be mutual and represent all ideals and beliefs. Right....

Ikr..They're always going to be bias towards someone.

But yeah I agree that the BBC needs checking out.

[alexxxxx]

I would love the competition commission to look into the BBC.

apart from the BBC isnt a profit making business.

[Suspective]

I do agree with the BBC bias. It is probably the most left-wing media organization in existence, at least on the news front. I find it quite sick when they strike, and you turn on the news that their newsreaders who are being paid lots aren't there. I'd just love to confront them and say come on your being paid a fortune and you can't even be bothered to come to work and read the news for a couple of hours.

Surely though in a way the BBC makes a profit from a strike, as if it isn't paying its staff and getting management to cover - they are saving on wages. I don't know.

[-:Undertaker:-]

apart from the BBC isnt a profit making business.

And? we're not talking about profits, we are talking about the competition in the media market of which the BBC has a large monopoly which is held in place by the state/the license fee. I daresay parts of BSkyB make a loss (Sky News for example) - if you're going to have rules, apply it to the state as well.