Murdoch has now axed News of the World, hoping that the amputation will provide an isolated "bad apple" image of the problem. The collusion (and corruption) between the newspaper, police and others is mind-boggling. The Guardian began investigating early on about phone hacking and other illegal operations, and Rebekah Brooks, Rupert Murdoch's ace in Newscorp's UK newspaper arm and personal confidante, has not been let go as of yet, even though she oversaw all operations.
As well, Newscorp stock has plummeted. Murdoch was planning on yet again buying a major network.
http://www.google.com/hostednews/afp...5f467cffd8c.91News Corp stock plunges on hacking fallout
(AFP) – 1 hour ago
NEW YORK — Shares of News Corp., Rupert Murdoch's media empire, plummeted on Friday amid concern that the British phone-hacking scandal would thwart its bid to take full control of pay-TV giant BSkyB.
News Corp. stock was down 4.1 percent on the Nasdaq stock exchange as of 1630 GMT. It has shed more than seven percent since Tuesday, slashing the company's market capitalization by more than three billion dollars.
The company came under fierce criticism this week after reports that its News of the World tabloid had hacked into the voicemail accounts of a murdered girl and relatives of slain British soldiers.
News Corp. has apologized and said it will shut down News of the World, but investors are fleeing from its stock amid fear that investigations could ensnare the company's other businesses, analysts said.
"How high does it go?" said Marc Pado, US market strategist for Cantor Fitzgerald. "They are going to dig into this and they could take down key players within the corporation beyond the tabloid paper."
The scandal has also fuelled speculation that the British government will delay its decision on the company's bid for BSkyB until September...



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