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Summary:

News Corp. (NSDQ: NWS) is now definitely looking for a MySpace buyer – but may yet retain part of the site.

“With a new structure in place,…

Chase Carey
photo: Corbis

News Corp. (NSDQ: NWS) is now definitely looking for a MySpace buyer – but may yet retain part of the site.

“With a new structure in place, now is the right time to consider strategic options for this business,” COO Chase Carey told analysts. “The new MySpace has been very well received by the market and we have some very encouraging metrics. But the plan to allow MySpace to reach it’s full potential may be best achieved under a new owner.”

If it were ever in doubt, it now seems clear News Corp.’s latest big cutback to the service last month was to get it in shape for some kind of sale. Carey’s comments are a come-and-get-me to potential bidders. Carey told paidContent.org…

There’s been a lot of interest, because there’s been some indication we’re pursuing this path. We’ll consider all options – not just a sale, it could be a sale, it could be an investor coming in to it, it could be us staying in with a restructured ownership structure with management.

“We think a fresh perspective would give them flexibility and an opportunity to get a new life consistent with the right-sizing of the product and the costs.

“The interest to date has ranged from A to Z – from industry players, financial players, foreign to domestic. And that’s without really being out there – it’s incoming, we’re not soliciting anything at this point. But we’ll look at all of those. I’m not going to speculate on value.

“We think it is a business that has got a unique level of reach and, whilst it it’s in a restructuring place, has put forward a path that we think has a real future to it and that we think has an opportunity to really be something special. But we think we really ought to put it in the right place to maximize that opportunity.

“Senior management there is excited. There’s been a lot of challenges for them, but they really believe that they can do something special.”

  1. Myspace Visits and Pageviews are down 50% in 3 months since the redesign. Look at comscore. Redesign made things worse.

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  2. You broke your own website, you morons. Spin this debacle into a positive is just not possible.

    “The cost to News Corp (NSDQ: NWS) of getting MySpace in to shape? A big chunk of $275 million in just the last three months of 2010. That’s the Q2 total for devaluing its Digital Media Group and for restructuring the social network with big cutbacks, recorded as a pre-tax charge.”

    You spent 275 million just to get rid of your users? They would have left for half that.

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  3. He Who Laughs Last, Laughs Longest: How Owen Van Natta had the last laugh at his former employers, News Corps, last week.http://bit.ly/ir5lzh

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