Yahoo! to Acquire MySpace for 25% Stake - GoFuckYourself.com

Barefootsies · 06-26-2007, 01:52 PM

According to the Silicon Valley rumor mill, Fox Interactive, a division of News Corp., has dangled social network icon MySpace in front of the Yahoo! board to tempt them into selling a 25% share of the company. While MySpace carries a significant amount of traffic, the jury's out whether it's worth the price tag.

The first question that comes to mind is "WHY?"

Why has Fox Interactive, or audacious owner Rupert Murdoch, decided to leverage the social network he bought in 2005 for a mere $580 million to secure a stake in Yahoo!? MySpace now carries more traffic than Yahoo!, and is estimated to be worth approximately US$10 billion by market analysts.

Considering Yahoo!'s poor performance and shareholder unrest, this is the best chance Murdoch has to make such an offer. With Yahoo! stock prices at record lows and the newly appointed Yahoo! leadership team (Jerry Yang and Sue Decker) looking to reverse the trend, now more than ever, they might consider such a deal.

The one key fact working against the rumored deal is the perception that MySpace is a social network that has reached its peak, and with increasing competition from the likes of Facebook and vertical driven social communities, its future forecasts aren't as attractive.

So who wins should the deal go ahead? In reality, Fox Interactive would be the real winners, as diversifying their interests would help mitigate the diminishing returns from MySpace.

I would be surprised if the new Yahoo! executive team takes up such a deal so early on in their tenure - even if it means they squeeze Google out of their $1 billion deal with Myspace. One major acquisition isn't going to solve all their problems.

http://www.ineedhits.com/free-tools/...-06-26NLblog1h

Ayla_SquareTurtle · 06-26-2007, 01:55 PM

one day in the not-so-distant future, that man is going to own everything in the fucking world.

WiredGuy · 06-26-2007, 02:13 PM

This is a great deal for Myspace. I can't see why in the hell Yahoo would pay upwards of $10billion for it when they could get Facebook. Myspace in my opinion is over the hump where Facebook is still rising. Robert Murdoch is a genious on this deal. Bought MS for $580 million, signed a $1 billion advertising deal with Google and now sells for $10 billion. This guy is my hero.
WG

Doctor Dre · 06-26-2007, 02:16 PM

Myspace is somewhat on a downfall right now. They should buy facebook.

Andiz · 06-26-2007, 02:29 PM

Yahoo ain't stupid

Vendot · 06-26-2007, 03:03 PM

Quote:

Originally Posted by WiredGuy

Robert Murdoch is a genious on this deal. Bought MS for $580 million, signed a $1 billion advertising deal with Google and now sells for $10 billion. This guy is my hero.
WG

Well said WG....... nice ROI

Hollywood Horwitz · 06-26-2007, 03:55 PM

Facebook wont last and isn't catching on IMO.

SCtyger · 06-26-2007, 04:01 PM

i've never heard of facebook until now =/

Big_D · 06-26-2007, 04:01 PM

facebook's requirment on actually being in college is going to be their downfall, anyone can use myspace.

I have an account on myspace, never thought about facebook all the college students have it yes, but thats where it ends.

I have never clicked a myspace banner, and honestly I dont know of anyone who does, their actual downfall is the stealing of accounts lately and the overzelus amount of spam. Honestly, I could give a rats ass. Money is involved yeah, but not mine so i could give a fuck.

Drake · 06-26-2007, 04:08 PM

I agree, good move for myspace

sacX · 06-26-2007, 04:21 PM

that's ridiculous, won't happen.

bhutocracy · 06-26-2007, 04:31 PM

25% of Yahoo is 9.25 billion. Frankly... I don't think thats a solid investment Myspace brings in 200 million a year - 5% of Yahoo's revenue... And it's not as if there is incredible headroom left for growth..

Barefootsies · 06-26-2007, 04:48 PM

Quote:

Originally Posted by Big_D

facebook's requirment on actually being in college is going to be their downfall, anyone can use myspace.

I have an account on myspace, never thought about facebook all the college students have it yes, but thats where it ends.

I have never clicked a myspace banner, and honestly I dont know of anyone who does, their actual downfall is the stealing of accounts lately and the overzelus amount of spam. Honestly, I could give a rats ass. Money is involved yeah, but not mine so i could give a fuck.

Anyone can join now. You no longer have to be a college student, or in high school chief.

06-26-2007, 01:52 PM	#1
Barefootsies Choice is an Illusion Industry Role: Join Date: Feb 2005 Location: Land of Obama Posts: 42,635	Yahoo! to Acquire MySpace for 25% Stake According to the Silicon Valley rumor mill, Fox Interactive, a division of News Corp., has dangled social network icon MySpace in front of the Yahoo! board to tempt them into selling a 25% share of the company. While MySpace carries a significant amount of traffic, the jury's out whether it's worth the price tag. The first question that comes to mind is "WHY?" Why has Fox Interactive, or audacious owner Rupert Murdoch, decided to leverage the social network he bought in 2005 for a mere $580 million to secure a stake in Yahoo!? MySpace now carries more traffic than Yahoo!, and is estimated to be worth approximately US$10 billion by market analysts. Considering Yahoo!'s poor performance and shareholder unrest, this is the best chance Murdoch has to make such an offer. With Yahoo! stock prices at record lows and the newly appointed Yahoo! leadership team (Jerry Yang and Sue Decker) looking to reverse the trend, now more than ever, they might consider such a deal. The one key fact working against the rumored deal is the perception that MySpace is a social network that has reached its peak, and with increasing competition from the likes of Facebook and vertical driven social communities, its future forecasts aren't as attractive. So who wins should the deal go ahead? In reality, Fox Interactive would be the real winners, as diversifying their interests would help mitigate the diminishing returns from MySpace. I would be surprised if the new Yahoo! executive team takes up such a deal so early on in their tenure - even if it means they squeeze Google out of their $1 billion deal with Myspace. One major acquisition isn't going to solve all their problems. http://www.ineedhits.com/free-tools/...-06-26NLblog1h __________________ Should You Email Your Members? Link1 \| Link2 \| Link3 Enough Said. "Would you rather live like a king for a year or like a prince forever?"

06-26-2007, 01:55 PM	#2
Ayla_SquareTurtle Confirmed User Industry Role: Join Date: Sep 2005 Location: 5000 full paysite reviews and counting Posts: 3,550	one day in the not-so-distant future, that man is going to own everything in the fucking world. __________________ gone. long gone. aylasquareturtle .."a"t".. gmail dawt com

06-26-2007, 02:13 PM	#3
WiredGuy Pounding Googlebot Industry Role: Join Date: Aug 2002 Location: Canada Posts: 34,486	This is a great deal for Myspace. I can't see why in the hell Yahoo would pay upwards of $10billion for it when they could get Facebook. Myspace in my opinion is over the hump where Facebook is still rising. Robert Murdoch is a genious on this deal. Bought MS for $580 million, signed a $1 billion advertising deal with Google and now sells for $10 billion. This guy is my hero. WG __________________ I play with Google.

06-26-2007, 03:55 PM	#7
Hollywood Horwitz Porn To ROCK! Industry Role: Join Date: Dec 2003 Location: Hollywood Posts: 4,357	Facebook wont last and isn't catching on IMO. __________________ Ross Horwitz Skype: RossAngeles666 Online Ad Sales / Email / Display Ads / Mobile Cell.323.949.4313 [email protected]

06-26-2007, 04:01 PM	#8
SCtyger Confirmed User Join Date: May 2003 Posts: 564	i've never heard of facebook until now =/ __________________ http://www.silvercash.com/

06-26-2007, 02:29 PM	#5
Andiz Confirmed User Join Date: Feb 2006 Posts: 2,594	Yahoo ain't stupid

06-26-2007, 04:01 PM	#9
Big_D CRAZY MOFUKKA Industry Role: Join Date: Jun 2006 Posts: 3,296	facebook's requirment on actually being in college is going to be their downfall, anyone can use myspace. I have an account on myspace, never thought about facebook all the college students have it yes, but thats where it ends. I have never clicked a myspace banner, and honestly I dont know of anyone who does, their actual downfall is the stealing of accounts lately and the overzelus amount of spam. Honestly, I could give a rats ass. Money is involved yeah, but not mine so i could give a fuck.

06-26-2007, 04:08 PM	#10
Drake Hello world! Industry Role: Join Date: Mar 2003 Posts: 12,508	I agree, good move for myspace

06-26-2007, 04:21 PM	#11
sacX Confirmed User Join Date: Dec 2002 Location: New Zealand Posts: 2,998	that's ridiculous, won't happen. __________________ Have Asian Language Traffic?

06-26-2007, 04:31 PM	#12
bhutocracy Not making A Comeback Industry Role: Join Date: Dec 2001 Posts: 10,218	25% of Yahoo is 9.25 billion. Frankly... I don't think thats a solid investment Myspace brings in 200 million a year - 5% of Yahoo's revenue... And it's not as if there is incredible headroom left for growth..