Specific Media acquires MySpace for $35 million

MySpace logoA day after rumors surfaced about News Corp's attempts to quickly sell off MySpace, a deal has been struck to let the site go for a rumored $35 million. Ad firm Specific Media announced the purchase on Wednesday, of which News Corp would retain a five percent stake.

At that price, MySpace is a staggering 94 percent discount over the estimated $580 million News Corp paid to acquire the site in 2006. The media conglomerate had hoped to make about $100 million from any sale, but as its fiscal end of year approached on Thursday, it became a matter of unloading the site quickly.

The deal means that about half of the company's workforce would be laid off, and current MySpace CEO Mike Jones would step down immediately. Jones is in discussions for a board seat on the new company, and would work in an advisory role with News Corp and Specific Media to ensure a smooth transition.

"Myspace is a recognized leader that has pioneered the social media space," Specific Media CEO Tim Vanderhook said in a statement. "There are many synergies between our companies as we are both focused on enhancing digital media experiences by fueling connections with relevance and interest."

Vanderhook nor Specific Media made any specific mention of how the site would operate in the post-News Corp area. Earlier reporting seemed to indicate that the company planned to maintain MySpace's current focus on entertainment and music.

"While I regret we won't be working together at Myspace any longer, I am very proud of the work we have done here and believe we have performed with excellence -- even under extremely difficult circumstances," Jones told MySpace employees in an e-mail sent out announcing the move.

Source: Betanews

Tags: MySpace, social networks

Comments
Add comment

Your name:
Sign in with:
or
Your comment:


Enter code:

E-mail (not required)
E-mail will not be disclosed to the third party


Last news

 
Consumer group recommends iPhone 8 over anniversary model
 
LTE connections wherever you go and instant waking should come to regular PCs, too
 
That fiction is slowly becoming a reality
 
The Snapdragon 845 octa-core SoC includes the Snapdragon X20 LTE modem
 
Human moderators can help make YouTube a safer place for everyone
 
Google says Progressive Web Apps are the future of app-like webpages
 
All 2018 models to sport the 'notch'
 
The biggest exchange in South Korea, where the BTC/KRW pair is at $14,700 now
The Samsung Galaxy A5 (2017) Review
The evolution of the successful smartphone, now with a waterproof body and USB Type-C
February 7, 2017 /
Samsung Galaxy TabPro S - a tablet with the Windows-keyboard
The first Windows-tablet with the 12-inch display Super AMOLED
June 7, 2016 /
Keyboards for iOS
Ten iOS keyboards review
July 18, 2015 /
Samsung E1200 Mobile Phone Review
A cheap phone with a good screen
March 8, 2015 / 4
Creative Sound Blaster Z sound card review
Good sound for those who are not satisfied with the onboard solution
September 25, 2014 / 2
Samsung Galaxy Gear: Smartwatch at High Price
The first smartwatch from Samsung - almost a smartphone with a small body
December 19, 2013 /
 
 

News Archive

 
 
SuMoTuWeThFrSa
     12
3456789
10111213141516
17181920212223
24252627282930
31      




Poll

Do you use microSD card with your phone?
or leave your own version in comments (4)