Murdoch To Ditch MySpace For Yahoo Share?

News Corp. boss Rupert Murdoch appears ready to ditch control of MySpace in favor of a 25% stake in Yahoo Yahoo!according to key industry sources including Marketing Pilgrim’s Andy Beal. In exchange for selling MySpace to Yahoo for the princely sum of $12 billion, Murdoch’s company would gain partial ownership of Yahoo (that amount has been reported to be a 30% share by the UK Times).

First Facebook, Now Myspace?

The news of a possible deal comes after Yahoo backed off from purchasing MySpace rival Facebook last fall when the price of Facebook pushed past $1 billion. Facebook has been steadily gaining ground on MySpace, but the Mark Zuckerberg-led company has decided to remain independent a decision that could quickly change if MySpace becomes part of the Yahoo network.

A Twenty-Fold Profit For News Corp!

For Murdoch, the sale of MySpace to Yahoo would be a watershed event. Two years ago Murdoch paid $580 million for MySpace so the $11+ billion dollar profit would come in handy for News Corp. as it battles the General Electric/Pearson/Bancroft Family coalition for ownership of Dow Jones (owner of the Wall Street Journal).

Be Sociable, Share!

When Your Payday Arrives

I have been blogging for just over five years now and have written close to 9,000 articles over that time. Yes, that is a lot of writing, but many of those articles were of typical blog length, which means that they averaged about 400 words in length. When I write off of the top of […]

Trackbacks

  1. [...] MattK on 06.22.07 6:38 am | Permalink RSS feed for comments on this post. TrackBack URI Leave a [...]

  2. [...] MattK on 06.22.07 6:38 am | Permalink RSS feed for comments on this post. TrackBack URI Leave a [...]

  3. [...] Matt Keegan (22:22:53) : [...]

  4. [...] Matt Keegan Says: June 26th, 2007 at 10:18 pm [...]