MySpace sale rumours pick up pace as News Corp lay-off staff

Share

myspace-new-thumb.JPG
Another day, another set of MySpace sales rumours. The flailing social network is once again on the ropes after owners News Corp sacked nearly half the site’s staff, and are now apparently looking for buyers to take on the brand.

Bought by Rupert Murdoch’s media machine for $580 million in 2005, MySpace failed to keep the pace with the rapid growth of Facebook. An entertainment focussed re-launch last year has failed to re-ignite significant interest in the site, and now a sale seems imminent.

MySpace CEO Mike Jones has now confirmed that News Corp are considering their options for the future of MySpace, with a spokesperson for the site stating that “We are looking at a number of strategic options for the business, including a sale, merger or spinout.”

You have to wonder what venture capitalists would risk taking on a dying brand, but you can almost guarantee that any potential buyer will knock a fair chunk off of the $580 million price tag News Corp payed for it.

Via: Reuters

Gerald Lynch