Former Intermix CEO Keeps Beating The "Rupert Underpaid" Drum

from the blah-blah-blah dept

Former Intermix CEO Brad Greenspan was making a bunch of noise when News Corp. bought the company (the parent of MySpace), saying Rupert Murdoch and his crew were underpaying. He’s now followed that up by suing the company’s directors for breach of fiduciary duties, alleging they should have extracted a much higher price. Greenspan says the company should have fetched tens of billions of dollars, saying variously that MySpace is half the size of Google or that it gets twice the amount of traffic, depending on who he’s talking to. The suit doesn’t make a lot of sense: after all, if the directors could have fetched the tens of billions Greenspan says the site is worth, why wouldn’t they have done it? Surely they had enough personal motivation and potential benefit to do so. Secondly, his wild claims about the value of MySpace are as yet unfounded. Users of social-networking sites are pretty fickle, and it’s not yet clear that MySpace will avoid the fate of previous sites like Friendster. The biggest question, though, is if MySpace is so valuable and so easily monetizable (given all that ad inventory they have to sell), why did Greenspan-led Intermix choose to try to profit from spyware instead?


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Comments on “Former Intermix CEO Keeps Beating The "Rupert Underpaid" Drum”

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4 Comments
Sohrab says:

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Yea, I love all this talk about how myspace is so big. Its because 13 year olds who have nothing better to do click on it 200 times a day to check for a new invite and put perve comments on girls and guys pictures.

Google, people use it as a search engine, older crowd has access and they have credit cards, business, etc. and actually have some financial value, thus the higher revenue and add spaces.

Its like, do more people visit the local park on a day more or that one electronic store and if the park is the one visited more, does attract the same revenue that a electronic store would? No, its just a social place but an electronic store is a place for business.

Back to point, this lawsuit is retarded. the man see’s the money he has lost, thus the suit.

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