News Corp to play the long game?

So Mr Murdoch and News Corp announced yesterday that they had decided to abandon their attempt to purchase the remaining 60.9 per cent BskyB stake that they did not already own.

Today's newspapers are full of stories that the decision to abandon the deal is down to political pressure.

Personally I am not so sure.

I don't know Mr Murdoch personally but everything I read about him and his company leads me to believe that the deal for BSkyB is not dead and buried.

News Corp, in closing the News of the World and extending a USD 1.8bn share buyback to USD 5bn, has already made two strategic decisions to protect itself from the fallout of the phone hacking scandal.

BSkyB is too profitable and newspapers are becoming too difficult to turn healthy profits on for a deal not to still be pursued.

I would not be surprised if we saw the newspaper publishing part of the Murdoch empire sold and a fresh bid in the fullness of time for BSkyB.

Only time will tell if Digger will get his way!