From ARS technica, comes this assessment of what News Corp purchase of MySpace actually totaled: $1billion dollars: Doing the math on News Corp.’s disastrous MySpace years

Business Insider musters up this chart to show just how a big a lead MySpace squandered over 3 years to allow Facebook to become the dominant player in the space:

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Category: Venture Capital, Web/Tech

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

15 Responses to “MySpace Costs: $1 Billion Dollars”

  1. ByteMe says:

    Couldn’t have happened to nicer guys.

  2. What a complete and utter failure – especially considering the popularity of any number of marginal social media stocks commanding multi-billion dollar valuations through IPOs today

  3. Nice to see that billionaires make stupid trades too. ;)

  4. beaufou says:

    Crashed after the initial spike, who’s next?
    Huff Post.

  5. Bob A says:

    but did they squander it or was it something completely out of their control, as fickle teens became young adults and gravitated to something new?

    from aol to myspace to facebook to …??

    i dont think facebook will go away but the honeymoon phase is nearing the end

  6. Livermore Shimervore says:

    and there is nothing proprietary about Facebook that would prevent it from getting “MySpaced” by another social network. Particulary if someone shrewd and clever figures out how to extract from Facebook all the users with desireable demographic profile for advertisers.

  7. RC says:

    i dont think facebook will go away but the honeymoon phase is nearing the end

    Facebook will eventually follow Myspace trajectory but agreed that it will not go away but will provide a small photo sharing functionality. There is nothing innovative about Facebook. The concept was started by Friendster and flickr, which was expanded upon by Myspace and Facebook took it one step further.

    If nothing else the multi billon dollar valuation is definitely going to go away. Zynga now seems to be worth $20 billion.

  8. arbitrage789 says:

    I think that “Google plus” can give facebook a run for its money.

  9. 873450 says:

    Goldman claims Facebook is worth $50 billion – $70 billion.

  10. Livermore Shimervore says:

    “873450 Says:

    June 30th, 2011 at 2:08 pm
    Goldman claims Facebook is worth $50 billion – $70 billion.”

    is that synthetic dollars or Greek?

  11. mdobric says:

    That graph is kinda comparing apples to oranges. Facebook was initially not open to everybody. Instead you had to have an email address at a select college, then a few more schools were added, then highschools, and so on. The number of potential users for facebook was much smaller initially. I suspect that the lead that myspace had was never as large as this chart makes it out to be.

  12. Bob A says:

    “I think that “Google plus” can give facebook a run for its money.”

    yes i think so. at least at first glance it seems interesting

    and even your grandma in the retirement home can use google+ on a cheap, disposable chromebook or tablet. but i think grandma will prefer the chromebook though because it’s easier to use the keyboard than try to fiddle with the tablet and type on screen.

  13. hammerandtong2001 says:

    My Space today = Facebook tomorrow.

    The ephemeral nature of the masses guarantees it. And you can take that to the bank: after all, Goldman Sachs says Facebook valuation is what – $70 BILLION? For what? 700 Million souls and walls.

    Think of the eyeballs.

    Rosser Reeves: where are you now, don’t you care about your sons and daughters?

    .

  14. DiggidyDan says:

    GS is just saying that so they can do the ipo deal and bank millions when all the suckers rush to buy the current top internet fad(and they need to do it on the quick before google+ goes furealz) . . . Would love to see the “internal memos” on that valuation story!

  15. VennData says:

    If Fox News users and their out-of-breath anger at Fed Chairman Bernanke – “BERNANKE GOT THE HOUSING CRISIS WRONG!!! SO EVERTHING HE SAYS WRONG!!!” – applied that same evaluation criteria to the Rupert Murdock, they would never watch Fox or read the WSJ opinion page again.

    Here’s betting they don’t look at it that way.