When Rupert Murdoch purchased MySpace for more than $550 million, he thought he was getting a steal. Now, after years of financial trouble and a rapidly shrinking user base, Murdoch is looking to unload the once-dominant social network. Early reports suggest that the one interested buyer -- yes, there's only one -- isn't even offering close to the $100 million that Murdoch was hoping to get when he last considered selling.
MySpace's outlook was not always so dismal. In 2006, when MySpace was named the most popular social networking site, it's estimated value rose to $6 billion. While RCB Capital Markets analyst David Banks considered the company worth only $5 billion in 2007, MySpace's perceived heyday was still yet to come. TechCrunch's Michael Arrington calculated that, based on the "most valuable social network's" high page view numbers, it was worth around $20 billion. The next year, surpassed in popularity by Facebook, TechCrunch reevaluated the company's worth and brought it down to $6.5 billion. Finally, in 2010, Business Insider ventured that NewsCorp stood to get anywhere from $500 million to $1.2 billion for MySpace--"with the lower end being LESS than Rupert paid for it, and the upper end being twice what he paid for it (hardly the steal of the century)."
Read the full story at The Atlantic Wire.
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