Sometimes media is just that, media – be it social, user-generated, traditional, old or new. And world’s savviest media investor – Rupert Murdoch made that clear today with his unsolicited bid for Dow Jones & Company.
The man who owns MySpace, wants to own The Wall Street Journal, and is willing to pay $60 a share, or $5 billion for the company behind it. That’s 10 times what he paid for MySpace – a good proxy for user generated content. Earlier this month, real-estate Baron Sam Zell decided to buy the Tribune Companies for around $8.2 billion (in a mind twisting transaction.) Roger McNamee bought 40% of Forbes Media for about $300 million.
Murdoch, Zell and McNamee are not star-struck investors: they are hard-nosed businessmen seeking mega-profits, and they recognize that the traditional media empires, could use the same kind of house cleaning as other large US corporations.
So what’s next? A $10 billion buyout of Time Inc.? That’s an idea whose time has come.