[Infowarrior] - MySpace To Become Entertainment Site

[Richard Forno]

MySpace To Become Entertainment Site
Posted: July 13, 2009 at 5:18 am

http://247wallst.com/2009/07/13/myspace-to-become-entertainment-site/?utm_source=rss&utm_medium=rss&utm_campaign=rss

If at first you don’t succeed, try, try again.

MySpace, which has lost the crown as the world’s largest social  
network to Facebook and fired about a third of its staff will  
reposition itself as an entertainment destination. It is hard to see  
why that would work, but MySpace management may be running out of  
other viable options.
According tothe WSJ, “News Corp. Chief Executive Rupert Murdoch said  
MySpace needs to be refocused “as an entertainment portal.” It appears  
that it will move toward being a site where people share their music  
play lists and music videos.

How will MySpace make money on its new model? That is hard to figure  
out. Music sharing is already part of the community of people who use  
Apple (AAPL) iPods and other multimedia devices and peer-to-peer  
applications loaded onto PCs have similar functions.

Even if MySpace can get its members to use the site as an  
entertainment portal, there is not a clear path to exploiting that to  
build revenue. Most music lovers download tunes from the Apple ITunes  
store and similar services provided by large retailers.

MySpace has painted itself into a corner and moving into the music  
business is not going to help it.

Douglas A. McIntyre