MySpace Sells For $35 million

Image representing MySpace as depicted in Crun...

Image via CrunchBase

It’s the end of an era News Corp is finally selling MySpace. The media conglomerate has struck a deal to sell the struggling social network to ad network Specific Media for between $30 million and $40 million. The deal, which is being finalized right now, is a combination of cash and stock, though it’s mostly stock, with News Corp retaining about 5 percent of MySpace. The deal is also contingent on MySpace slashing its staff of 400 in half, layoffs which should come down in the next day. News Corp has been hustling to complete the deal by tomorrow, the end of its fiscal year. And this sale is far less than the $100 million it was hoping to get for the company. The company has revamped and rebooted a number of times — though it still does draw about 35 million monthly visitors in the US — it’s been far overtaken by Facebook, and has become a punchline.

What will Specific Media do with MySpace? Specific media is one of the largest online ad networks in the country, reaching nearly 80 percent of US internet users. The company uses information about consumers—their browsing history and demographic information—to target ads. Acquiring MySpace will allow Specific Media to access a wealth of information about the site’s users, while selling its own ad inventory instead of just other websites’ ad inventory. For more information about the selling of Myspace check out the full article here. For a free Business insurance quote visit our website today at http://www.kimberleyvassal.com!

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