MySpace Changes Hands From Murdoch To Specific Media

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MySpace changes hands from Murdoch to Specific Media

New York - The online social network MySpace on Wednesday changed hands from media mogul Rupert Murdoch to internet advertising specialist Specific Media.

The California-based company said in a statement that it had acquired MySpace from Murdoch's News Corporation. As part of the agreement, Murdoch is taking a minority equity stake in Specific Media, which is one of the country's largest online advertising networks.

Details of the agreement were not officially given, but The Wall Street Journal, which is also owned by Murdoch, said the California firm was paying 35 million dollars in stock and cash for MySpace, citingun named people familiar with the matter.

News Corp had been seeking 100 million dollars for the troubled website that is increasingly overshadowed by the success of rival Facebook, after paying 580 million dollars in 2005. The Journal said News Corp was hustling to get MySpace off its books before the fiscal year ends this week.

MySpace was laying off half of its estimated 500 workers. Two years ago, it employed 1,400 people, the Journal said.

Specific Media reaches nearly 80 per cent of all internet users, according to comScore figures quoted in the Journal.

-- The Nation 2011-06-30