Rumor: Yahoo In Talks To Pay Through The Nose For MySpace
from the punt dept
The departure of Terry Semel did little to excite Yahoo shareholders, who remain hungry for evidence that the company is taking serious measures to fix the company. Perhaps they should be careful what they wish for. It's being reported today that Yahoo and News Corp. have been in talks about giving MySpace to Yahoo in exchange for a 30% stake in the whole company. No matter how you slice it, such a deal would essentially mean Yahoo paying News Corp. just under $12 billion for MySpace, given that Yahoo's current market capitalization stands at about $37 billion. You could see why News Corp. would love this deal, seeing as it paid just $580 million for the company two years ago. As for Yahoo, this would be the ultimate act of desperation, seeing as its various social-networking acquisitions haven't exactly paid off. While talks are still seen as preliminary, the other big winner in this deal would be the analyst that valued MySpace between $10 billion and $20 billion. At the time, it seemed crazy, but these are certainly crazy times.Thank you for reading this Techdirt post. With so many things competing for everyone’s attention these days, we really appreciate you giving us your time. We work hard every day to put quality content out there for our community.
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Too much money...
And as for these analysts (which must be latin for rumor mill) I wonder if they get a cut of these massive deals that they come up with.
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I can't believe anyone uses that site, much less would buy it. It reminds me of a web page on Geocities circa 1997.
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I just heard that Microsoft was looking into acquiring yahoo again. See I just started a rumor that has about as much factual backing at this one. Lets see the stock jump 20% again from it.
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Social Networks (and the internets) are Dead
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Crazy Times
MySpace is dying, but these financial figures don't reflect that reality.
Brandon Watts
Criteo Evangelist
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Why the anamosity towards MySpace?
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I can't believe it when I run across a band that still uses MySpace over an owned domain. Talk about advertising your mediocrity.
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bah
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Really?
p.s. handiest part of myspace, reminding me when birthdays are.
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