Murdoch will resign Tuesday and will replaced by Deputy Chairman Nicholas Ferguson
James Murdoch will resign as chairman of BSkyB, the British satellite broadcaster said Tuesday.
Murdoch is the son of News Corp. chief Rupert Murdoch and had been seen as a possible successor to the media baron. However, he has been systematically reducing his role in the company following phone hacking and bribery scandals at News Corp.'s British tabloids News of the World and the Sun.
He will be replaced by BSkyB's Deputy Chairman Nicholas Ferguson.
James Murdoch cited questions about the U.K. phone hacking scandal as part of his reason for stepping down.
“I am aware that my role as Chairman could become a lightning rod for BSkyB and I believe that my resignation will help to ensure that there is no false conflation with events at a separate organization," Murdoch wrote in a letter to the board.
In February, Murdoch stepped down as executive chairman of News International, the division that oversaw the papers at the heart of the scandal.
Also read: James Murdoch Exits News International
Murdoch's reputation has been badly singed by the phone hacking, and he has faced questions about what he knew and when he knew it.
Murdoch denies knowing the scale of the hacking and that he tried to cover up the illegal activity.
Despite the damage done to Murdoch's reputation, he has held onto his positions of power longer than other News Corp. executives who have been caught up in the scandal.
Rebekah Brooks, a top lieutenant of Murdoch and close family friend, was forced to resign from her position at News International last summer after the scandal metastasized, as was Dow Jones CEO Les Hinton, who oversaw News International when much of the hacking took place.
Murdoch continues to serve as News Corp.'s deputy chief operating officer. He will also remain as a non-executive director of BSkyB, the company said.
In a statement on his son's exit, Rupert Murdoch said: “We are grateful for James Murdoch’s successful leadership of BSkyB. He has played a major role in propelling the company into the market-leading position it enjoys today — and in the process has been instrumental in creating substantial value for News Corporation shareholders.”
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