There’s No Doubt Who Should Marry MySpace
The $900 million deal between Google and MySpace may be delayed due to the social networking giant’s reported talks with eBay, in which MySpace members would be allowed to buy and sell from each other by posting items on their profiles. Also, eBay’s online-commerce technology and PayPal payment system would be available to them, according to reports. This could conflict with Google’s own online selling system.
A US$900 million online advertising Email Marketing Software - Free Demo deal between Google (Nasdaq: GOOG) Latest News about Google and News Corp.’s MySpace is being held up because the popular social networking site is also talking about a separate deal with eBay (Nasdaq: EBAY) Latest News about eBay, the Wall Street Journal reported Wednesday.
The Google deal, reached six months ago, gives MySpace rights to use Google search technology and carry advertising brokered by the search engine.
Google would in turn pay News Corp. at least $900 million in shared ad revenue over three years.
Keep Options Open
However, the deal hasn’t been finalized despite the installation of Google links onto MySpace, the Journal reported, citing people familiar with the discussions, because MySpace wants to make sure it doesn’t restrict its ability to work with other Web companies, like eBay.
The newspaper said MySpace and eBay are in talks about partnering on ways to let MySpace users buy and sell items from each other by posting items on their profiles, and use eBay’s online-commerce technology and its PayPal payment system Back up your business with HP’s ProLiant ML150 Server - just $1,299..
The deal would bring MySpace’s younger audience Free How-To Guide for Small Business Web Strategies - from domain name selection to site promotion. to eBay while offering the networking site a new source of revenue, the Journal said.
Google’s View
However, Google, which has its own listings service where users can sell items and its own online payment service, may balk at such a pact. Nevertheless, the issue is not likely to derail the Google-MySpace deal, the newspaper said.
Quite frankly, we’d rather see MySpace team up with eBay. It makes much more sense. MySpacers could sell each other all types of products through eBay and PayPal. But can you imagine what your MySpace page would look like with Google AdWords ads on it? I guarantee you it wouldn’t be pretty.
MySpacers are a fairly young crowd. Primarily high school and college age. eBayers are typically older. Googlers are primarily tech-savvy geeks. Not the social type. It’s easy to see when a match is made in heaven and when one is headed for a train wreck. Google marrying MySpace would be a train wreck.
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