Rupert Murdoch called off his takeover bid for the British pay-television company, BSkyB. The move comes as pressure was mounting for him to drop the bid, which faced oppositions all three major British political companies.

In an extraordinary announcement, Prime Minister David Cameron outlined a public inquiry with a wide remit and warned the new police investigation running alongside would prosecute journalists, media executives and corrupt police officers.

Al Jazeera's Andrew Simmons has our more from London.