MySpace

MySpace in Russia

In August 2009, MySpace closed representative offices in 10 countries, including Russia. The initial costs of MySpace for the creation of a Russian representative office, marketing and partner programs in 2008 amounted to $ 100 000-150 000, Turkot recalls. And for the year and three months of the existence of the Russian office, about $1.2 million was spent on salaries, the purchase of a domain in the.ru zone and marketing, he says.

History

2011

Reducing the audience by almost half - by 43.2%

• Over the year, from February 2011 to February 2010, the audience of the once most popular social network in the world, MySpace, almost halved - by 43.2%.

This is stated in the report of Comscore. Over the month, compared to January 2011, MySpace traffic fell by 14.4% - from 73 million to 63 million people. According to analysts, such a drop in popularity is very serious. Now News Corp, the owner of MySpace, is looking for a buyer for this social network and such indicators can significantly affect the amount in the event of a transaction.

Experts predict that News Corp. will be able to help out for MySpace much less than the $580 million that was paid for it in 2005. At the end of 2010, MySpace underwent major changes - the site received a new design and concept, focusing on providing users with entertainment content.

• On April 12, 2011, TechCrunch received a copy of confidential documents from News Corp. with information about its social network MySpace. The documents were provided for study by potential MySpace buyers and contain the financial indicators of the social network.

So, it turned out that in the 2011 fiscal year, which ends on June 30, 2011, MySpace revenues will amount to only $109 million. In 2008, the revenues of the social network amounted to approximately $900 million. At the same time, MySpace expenses in fiscal year 2011 will amount to $274 million. Thus, the company will end the year with a loss of $165 million, according to information in the documents.

However, News Corp. officials claim that MySpace will make a profit as early as the next financial year. Although the company's revenues will continue to decline and amount to $84 million, its expenses should fall from $274 million to $69 million (partly due to the massive state cuts that have already passed).

However, according to analysts, News Corp. forecasts are not true and MySpace will not be able to reduce its costs by $205 million in just one year.

Reorganization

News Corporation continues the reorganization of the social network MySpace, intending to cut staff by almost half, it became known in January 2011, laying off from 500 to 600 employees, many of whom work in regional offices. At one time, Rupert Murdoch paid $580 million for MySpace in 2005. Today, in terms of monthly traffic, the Facebook network wins two and a half times (150 million users versus 60 million). By cutting staff, News is supposed to expect to make the social network more attractive to potential buyers. The fact that the sale of MySpace is possible was said last November by the company's chief operating officer Chase Carey. Private equity funds and even Yahoo!

2010: News Corp says it is open to offers to sell MySpace

In November 2010, News Corp announced that it was open to offers to sell its social network MySpace after the relaunch of this site as an entertainment service was completed. Chase Carey, chief operating officer of News Corp, said in an interview with Reuters. According to him, the successful completion of the MySpace rebranding may contribute to a deal with someone who wants to purchase this site. However, analysts note that rumors about the sale of MySpace have been circulating for a long time. Possible buyers include Yahoo! and AOL.

2009

Audience - 130 million users

As of August 2009, MySpace has a worldwide audience of 130 million users (23 local sites).

Custom Email Service

In August 2009 , MySpace developers launched their own email service. Previously, MySpace users already had the ability to exchange messages, but the new service allowed them to start their mailbox like "@ myspace.com" with an unlimited volume.

2006: App audience - 100 million users

The timing of reaching the number of 100 million users by various applications