The departure of Richard Freudenstein sees Peter Tonagh handing over his role as chief executive of News Corp Australia to executive chairman Michael Miller.

Tonagh was chief operating officer at pay TV company Foxtel - which is half-owned by News - before joining News four years ago. Miller was previously chief executive of APN News & Media before joining News last year.

A statement says Freudenstein is leaving Foxtel "to pursue other interests", but will remain on the board of REA Group, operator of realestate.com.au.

There is speculation that partner Telstra may sell some or all of its stake in Foxtel - or prompt a full or partial float - but Telstra are not commenting on this.

Tonagh says Foxtel is "a business I know and love", as well as being a critical part of the News Corp portfolio.

The statement anticipates that Freudenstein will remain at Foxtel until April for the handover.