In a statement, the media giant said that it is "considering a restructuring to separate its business into two distinct publicly traded companies".
News Corp supplied no further details on the proposals. The announcement comes after the proposed plans were reported by The Wall Street Journal, one of the News Corp papers that would be split off if the move goes ahead.
The paper said that the split would involve News Corp's film and television business, including the Twentieth Century Fox film studio, the Fox broadcast network and the stake in UK pay-TV giant Sky, being separated from its newspapers and the HarperCollins book publishing assets.
Alongside the Wall Street Journal, Murdoch's newspaper portfolio also includes The Times, The Sunday Times, The Sun and The Australian.
Despite being worldwide brands, these titles are much less profitable than the TV and film side of the business and would form a much smaller company.
The move would enable News Corp to insulate its more valuable entertainment assets from the newspaper business, particularly with ongoing scrutiny over the phone hacking affair at the UK publisher News International.
News Corp investors have long pushed for the move, particularly as the pay-TV and film operation generated $23.5 billion (£15bn) in revenue in the year ending June 2011, compared to $8.8 billion for the publishing businesses.
Rupert Murdoch, the chairman and chief executive of News Corp, has previously opposed such a move, but is thought to have recently softened this stance.
The Murdoch family would be expected to retain control of the newly-split companies due to their 40% voting shares in News Corp. This is despite recent shareholder criticism of their control over the media empire.
News Corp shares were up 8% and shares in Sky up 2.52% today after the business split proposal confirmation.