http://www.thumbgen.com/2006/08/07/myspace-and-google-deal-how-does-it-applies-to-mobile/

I predict that the new users will abandon it quite soon actually, because it has lost it’s appeal as the millions have clouded the site with the pictures of thirteen year olds smoking blunts, the endless stupid surveys, the rediculous bulletins. The reason that it has lasted this long, and the reason the people that have had it for a few years stick with it throughout all of its problems is that it is a way to communicate that is MUCH easier than email, and less one-on-one than the telephone and instant messenger.

It isn’t just a site for people to take the classic “myspace pic” but for people to keep in touch with the people they already know on a day to day basis. Comments offer a way to share messages. Teens and preteens just do not like email.

So until a new site comes along that offers the ease of use that myspace has, it will stay relavant.

Was it a good idea for google to keep their hands off? Of course. Google is a bit too classy for fads such as this, no matter how relavant to the times. And those stupid fourteen year old kids everyone talks about? No way would they even think to type into the search box through myspace. New tab, google.com. Always. And with all the bad press that myspace has gotten because of adolescent stupidity, Google is wise not to have their name attatched to that. Not every one knows what goes on behind the public eye with corporate deals, but Soccer Moms know the name Google, and soccer moms are afraid of myspace.

But it is an interesting comparison to MTV. What has MTV with the best intentions become but a cesspool for Laguna Beach and Date My Mom.

As you say, according to most management perspectives… it does seem, and in fact may be a strategic blunder..

But for all big corporations, just like in politics, it is imperative to have a strong “so-called opposition” for their survival so as to retain their position..

Now, this is something most corporates or even politicians can afford, because if they slip.. they are history

When you can pay someone to retain their current position, don’t you think that this is a small investment..

As they say, once you know your enemy, it is better to treat him as your friend… [not that they are enemies, but in this case it is the competiiotion]

Well.. who knows… it is too big for us to comprehend !!

I have clipped a piece of this article for my blog and back-linked you with a courtesy… [with your permission]

Cheers

metrics don’t lie. MySpace isn’t in the top 10 Internet properties for both visitors & traffic for no reason. if it’s a fad, it’s a pretty goddamn successful fad folks… and check out eBay for a portal with lots of unwashed masses with incredibly fanatic user base. Facebook might be the only property with a more frequent user visit profile, but MySpace ain’t too shabby either, and it’s 10x as popular.

doesn’t matter how crappy the demographic is with those kind of numbers. and if you think they won’t figure out how to monetize it, you’re completely misunderstanding the negotiating power behind these kind of numbers: http://weblogs.hitwise.com/bill-tancer/2006/05/myspaceis1googletraffic_so.html

MySpace is worth tons of money in the same way that AOL was worth enough money for Google to outbid Microsoft on the deal and throw down $5B (investment) on the spot.

get over yourselves on this one. MySpace is not GeoCities or Tripod or Broadcast.com. MySpace is a reality, and even if they jump the shark and growth starts falling off, it’s STILL going to be worth a crapload and while there’s some risk the audience shifts to other services, i seriously doubt that much traffic gets completely displaced over night — at this point too many people have embedded their photos, comments, friends, personality, and other life essence for it to just go away. it might still fade away, but in any case it’s already been a GREAT deal for News that has put them on the playing field.

all you armchair analysts need to get a clue. betting on the future downfall of MySpace & the lack of monetization as good reasons for Google passing on the deal strikes me as the Internet version of sour grapes.

• dave mcclure http://500hats.typepad.com

If this is a way to monetize, that means Newcorp will also be in the market for a payments engine. Or will EBay and Newscorp have only one thing (experiments with expensive acquisitions) in common?