Money From Google Crimping MySpace's Style

from the caught-in-the-crossfire dept

Last summer, News Corp. seemed to vindicate its purchase of MySpace when it signed a $900 million advertising pact with Google. Now News Corp. may be wondering whether it got more than it bargained for when it signed that deal. The Wall Street Journal is reporting that finalizing the paperwork has hit a snag as News Corp. is concerned that the terms of the deal may prevent it from exploring other partnerships. In particular, the company is said to be in talks with eBay to bring "peer commerce" to its social network. It's not clear whether it makes sense to bring eBay-style auctions to the social networking site, but either way, Google isn't thrilled about letting its rival have this opportunity; its $900 million payment was in part a defensive measure to prevent other companies from getting at MySpace's base. Meanwhile, MySpace, which had hoped to play the role of kingmaker by awarding its traffic to the highest bidder, may be feeling a bit like a pawn stuck in the middle of a larger battle.
Hide this

Thank you for reading this Techdirt post. With so many things competing for everyone’s attention these days, we really appreciate you giving us your time. We work hard every day to put quality content out there for our community.

Techdirt is one of the few remaining truly independent media outlets. We do not have a giant corporation behind us, and we rely heavily on our community to support us, in an age when advertisers are increasingly uninterested in sponsoring small, independent sites — especially a site like ours that is unwilling to pull punches in its reporting and analysis.

While other websites have resorted to paywalls, registration requirements, and increasingly annoying/intrusive advertising, we have always kept Techdirt open and available to anyone. But in order to continue doing so, we need your support. We offer a variety of ways for our readers to support us, from direct donations to special subscriptions and cool merchandise — and every little bit helps. Thank you.

–The Techdirt Team


Reader Comments

Subscribe: RSS

View by: Time | Thread


  1. identicon
    Witty Nickname, 7 Feb 2007 @ 1:13pm

    MySpace Ads

    I have a myspace account, and I use it occationally. I find their advertising scheme interesting. For example, myspace knows from my profile that I am a married male between 25-30. The biggest ads they show me are for an online dating site. At first I thought it was just a sad commentary on society until I saw one of the ads saying they do background checks to 'filter out marrieds'.

    Seems to me myspace could make a lot more money showing even slightly targeted ads, instead of showing the exact same thing to (I assume) everyone.

Add Your Comment

Have a Techdirt Account? Sign in now. Want one? Register here



Subscribe to the Techdirt Daily newsletter




Comment Options:

  • Use markdown. Use plain text.
  • Make this the First Word or Last Word. No thanks. (get credits or sign in to see balance)    
  • Remember name/email/url (set a cookie)

Follow Techdirt
Sponsored Promotion
Public Money, Public Code - Sign The Open Letter at publiccode.eu
Essential Reading
Techdirt Deals
Report this ad  |  Hide Techdirt ads
Techdirt Insider Chat
Recent Stories

This site, like most other sites on the web, uses cookies. For more information, see our privacy policy. Got it
Close

Email This

This feature is only available to registered users. Register or sign in to use it.