VentureBeat: News Corp scores $900M from Google, a coup
M
· 3 years ago
Uh, I think you mean "billion," not "million." C'mon Matt, let's not get into the habit of readers actually thinking that bloggers NEED editors...
Matt Marshall
· 3 years ago
No, that wouldn't be good. Unedited bloggers unite! I've updated. Thanks.
Ben Rattray
· 3 years ago
Every report I've read said News Corp paid $580 million for MySpace, not $1.2 billion. Can you confirm either way?
dave
· 3 years ago
It was $580m and it was not for myspace - but for a Intermix media that owns myspace, among other properties.
Matt Marshall
· 3 years ago
Updated to make clearer. Thx.
Elan
· 3 years ago
Let's not confuse profits with revenues and let's not forget about Finance 101: a dollar today is worth more than a dollar tomorrow. Fox's IRR will be the discounted value of $900MM + the present value of the future cash flows from MySpace, which will be based on MySpace's profitability...Not $900MM + $350MM as you point out.
Dan
· 3 years ago
I thought all of Intermix, including MySpace was $580M.
Matt Marshall
· 3 years ago
Ok, the confusion stems from my link to the AP story, which used the $1.2 billion number (which includes the IGn deal), and so that is what I was referring to. I've updated it now, and hope it is finally clear. Sorry about that.
Jon Gales
· 3 years ago
'It depends on whether MySpace users decide to use the search bar to buy things. Our hunch is they probably are only searching for friends, because that's all we've used the MySpace search for.'
I'm sure the Google execs took a look at the current search volume and ad clicks... Currently it's powered by Overture. This is a minimum revenue guarantee too, so it's likely the real amount will be more (especially if MySpace keeps up some growth). Murdoch is looking really smart right now. Making all his money back in a few years.
Dan
· 3 years ago
So, what does this mean for other VC-backed upstarts like YouTube and Facebook?
All Comments
I'm sure the Google execs took a look at the current search volume and ad clicks... Currently it's powered by Overture. This is a minimum revenue guarantee too, so it's likely the real amount will be more (especially if MySpace keeps up some growth). Murdoch is looking really smart right now. Making all his money back in a few years.