News Corp., NDS: Hacking accusations are false

Both News Corp. (Nasdaq: NWSA) and NDS over the last two days have slammed the report from BBC Panorama--as well as a related report from the Australian Financial Review--that NDS played a significant role in a hacking plot that may have sped the demise of ITV Digital.

In a statement, a News Corp. executive called the BBC report a "gross misrepresentation" of NDS's role in the industry, and said it used "manipulated and mischaracterized e-mails to produce unfair and baseless accusations."

NDS pointed out that the report is based old allegations that NDS already has been cleared of, which is true, though the BBC claimed to base its report on new evidence.

Cisco Systems (Nasdaq: CSCO) recently moved to acquire NDS from News Corp. for about $5 billion, and some have wondered if the allegations will push Cisco to downplay the NDS brand in the future. That won't need to happen if these new allegations fade. NDS has worked with so many pay TV industry firms in the past, and its name is so ingrained in the industry that it is hard to imagine that it would happen.

For more:
-see this Dow Jones Newswires post

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Related articles:
NDS was accused in a piracy conspiracy earlier this week
Cisco announced the NDS acquisition earlier this month