There’s a very interesting piece on AdAge’s Media Works about how the “Wizened of Oz” will more than likely screw up MySpace, News Corp.'s $600 million acquisition – And more than likely turn off its 86 million members. Right now it isn’t taking in a ton of revenue because the site primarily consists of amateurish personal pages put up by teens and 20-somethings -- stuff that's not easy to monetize. The column poses the 600 million dollar question… Will News Corp., in making MySpace into a real business, destroy it? And will users who love it for its DIY anarchy ultimately abandon it, just as they've abandoned any number of other once-hot youth-culture brands? I wouldn’t be surprised, as this isn’t the first time they’ve tried it and failed. Anyone remember Delphi Online, News Corp.'s big mid-'90s bid to compete with AOL? It was a joint venture with MCI, and it was a disaster. Three years after the “wizened of Oz” bought into it, he sold off his portion for peanuts. As Yogi would say… “Is this deja vue all over again?” 
An 80 year old media mogul has his finger on the pulse of America's youth... Right!
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I have to question the biz model that says you give away hosting space for anyone and not charge for it eventually? I think we're past the point of launch for this little social network, so why the need to keeping giving it away, you know?
Posted by: makethelogobigger | June 27, 2006 7:55 AM | Permalink to Comment