In the air: Murdoch intrigue over Project Two22

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It is thought some of those involved came from the axed News of the World and they are said to be recruiting staff externally. Those close to NI suggest it is not linked to any possible launch of the Sun on Sunday as a replacement for the NOTW.

Instead Project Two22 is focused on digital innovations such as iPhone and iPad apps but it is apparently not a precursor to the launch of a standalone digital paper. The fact that Project Two22 is located far from the Wapping newspaper HQ - News Corp's Times Literary Supplement and its recruitment business Milkround are also in Gray's Inn Road - has stoked interest. Presumably it is too much to hope that Project Two22 is advising boss Rupert Murdoch on his new Twitter account.

* The Leveson inquiry into hacking resumes next Monday, with the editors of the Mirror papers lined up to testify later in the month. Plans for a revamp of the Mirror website had been set for the same day as their appearance, but the talk is changes will be briefly delayed as a result.

* Hacks, Channel 4's satirical romp about phone-hacking, got very mixed reviews for its thinly veiled fictional portrayals of Rupert and James Murdoch and Rebekah Brooks. It was certainly unflattering about the Murdochs although actor Michael Kitchen had fun hamming up the politically incorrect Rupert character, called Stanhope Beast.

The Times was happy to run a C4 ad for the show but it was a surprise to see Sky advertise in the first commercial break during Hacks. Strange that Sky should inadvertently help to fund this attack on its chairman James Murdoch.

WSJ Europe cleared in circulation row

The Wall Street Journal Europe was today cleared of wrongdoing in the circulation row over cut-price copies that cost the paper's European publisher his job last year. The Audit Bureau of Circulation is not that emphatic in exonerating the WSJ, saying it has "found no clear evidence that these copies should be regarded as not compliant". The allegations, first raised by The Guardian, suggested that the WSJ not only boosted circulation with a deal with a Dutch consulting firm but also gave it some editorial coverage.