Editing Myspace (section)

===2009–2016: Decline and sale by News Corporation===
On April 19, 2008, Facebook overtook MySpace in [[Alexa Internet|Alexa]] rankings.<ref>{{cite web|url=https://techcrunch.com/2008/06/12/facebook-no-longer-the-second-largest-social-network/|publisher=TechCrunch|title=Facebook No Longer The Second Largest Social Network|date=June 12, 2008|access-date=March 12, 2015|archive-date=December 5, 2020|archive-url=https://web.archive.org/web/20201205150545/https://techcrunch.com/2008/06/12/facebook-no-longer-the-second-largest-social-network/|url-status=live}}</ref><ref>{{cite web|url=http://www.youngacademic.co.uk/features/the-death-of-myspace-young-academic-columns-953|title=The Death of MySpace|publisher=Young Academic|date=March 31, 2011|access-date=October 23, 2011|archive-date=August 15, 2020|archive-url=https://web.archive.org/web/20200815131154/https://www.youngacademic.co.uk/features/the-death-of-myspace-young-academic-columns-953|url-status=live}}</ref> In May 2009, Facebook surpassed MySpace in the number of unique U.S. visitors.<ref name="Albanesius"/> From that point, Myspace saw a consistent loss of membership. There are several suggested explanations for its decline, including the fact that it stuck to a "portal strategy" of building an audience around entertainment and music, whereas Facebook and [[Twitter]] continually added new features to improve the social networking experience.<ref>{{cite news|url=https://www.latimes.com/archives/la-xpm-2009-jun-17-fi-ct-myspace17-story.html|work=Los Angeles Times|first1=Dawn C.|last1=Chmielewski|first2=David|last2=Sarno|date=June 17, 2009|title=How MySpace fell off the pace|url-access=subscription|access-date=April 17, 2020|archive-date=June 20, 2018|archive-url=https://web.archive.org/web/20180620021533/http://articles.latimes.com/2009/jun/17/business/fi-ct-myspace17|url-status=live}}</ref><ref>{{cite news|url=https://www.telegraph.co.uk/technology/social-media/7564413/Did-AOL-squander-its-chances-with-Bebo.html|location=London|work=The Daily Telegraph|first=Emma|last=Barnett|title=Did AOL squander its chances with Bebo?|date=April 8, 2010|access-date=April 5, 2018|archive-date=March 30, 2019|archive-url=https://web.archive.org/web/20190330221548/https://www.telegraph.co.uk/technology/social-media/7564413/Did-AOL-squander-its-chances-with-Bebo.html|url-status=live}}</ref>

A former MySpace executive suggested that the $900 million three-year advertisement deal with Google,<ref>{{Cite web|last=Olsen|first=Stefanie|title=Google pledges $900 million for MySpace honors|url=https://www.zdnet.com/article/google-pledges-900-million-for-myspace-honors/|access-date=2020-11-18|website=ZDNet|language=en|archive-date=December 13, 2020|archive-url=https://web.archive.org/web/20201213155754/https://www.zdnet.com/article/google-pledges-900-million-for-myspace-honors/|url-status=live}}</ref> while being a short-term cash windfall, was a handicap in the long run, as it required MySpace to place even more ads on its already heavily advertised space, which made the site slow, more difficult to use and less flexible. MySpace could not experiment with its own site without forfeiting revenue, while Facebook was rolling out a new, clean site design.<ref>{{cite web|url=http://www.telecomtv.com/comspace_newsDetail.aspx?n=47741&id=e9381817-0593-417a-8639-c4c53e2a2a10|title=Only one bidder for MySpace – and he might walk|publisher=TelecomTV|date=June 13, 2011|access-date=October 23, 2011|url-status=dead|archive-url=https://web.archive.org/web/20111203053549/http://www.telecomtv.com/comspace_newsDetail.aspx?n=47741&id=e9381817-0593-417a-8639-c4c53e2a2a10|archive-date=December 3, 2011}}</ref><ref>{{cite web|url=http://gigaom.com/2011/04/08/was-it-google-who-killed-myspace/|title=Was It Google That Killed MySpace? – Tech News and Analysis|date=April 8, 2011|publisher=gigaom.com|access-date=April 9, 2011|archive-date=April 9, 2011|archive-url=https://web.archive.org/web/20110409160032/http://gigaom.com/2011/04/08/was-it-google-who-killed-myspace/|url-status=live}}</ref> MySpace CEO Chris DeWolfe reported that he had to fight Fox Interactive Media's sales team, who [[monetize]]d the site without regard to user experience.<ref name="bw-20110622"/> In 2012, Katz described how News Corporation had put significant pressure on MySpace to "focus on near-term monetization, as opposed to thinking about long-term product strategy," while Facebook focused on user engagement over revenue.<ref>{{Citation|title=MySpace Exec and Trip.com Founder Travis Katz talks Facebook IPO Fox Business|url=https://www.youtube.com/watch?v=TX_s-MMcQBE| archive-url=https://ghostarchive.org/varchive/youtube/20211028/TX_s-MMcQBE| archive-date=2021-10-28|language=en|access-date=2020-05-28}}{{cbignore}}</ref>

[[Danah Boyd]], a senior researcher at [[Microsoft Research]], noted of social networking websites that "companies might serially rise, fall, and disappear, as influential peers pull others in on the climb up—and signal to flee when it's time to get out." The volatility of social networks was exemplified in 2006, when Connecticut Attorney General [[Richard Blumenthal]] launched an investigation into children's exposure to pornography on MySpace. The resulting media frenzy and the site's lack of an effective spam filter gave the site a reputation as a "vortex of perversion". Around that time, specialized social media companies such as Twitter formed and began targeting users on MySpace, while Facebook rolled out communication tools that were seen as safe in comparison to MySpace. In addition, MySpace had particular problems with vandalism, phishing, malware, and spam, which it failed to curtail, making the site seem inhospitable.<ref>{{cite journal|last=Gehl|first=Robert W.|title=Real (Software) Abstractions: On the Rise of Facebook and the Fall of Myspace|journal=Social Text|year=2012|volume=30|issue=2 111|doi=10.1215/01642472-1541772|url=http://socialtext.dukejournals.org/content/30/2_111/99.full.pdf|access-date=June 27, 2013|doi-access=free|archive-date=October 2, 2013|archive-url=https://web.archive.org/web/20131002151223/http://socialtext.dukejournals.org/content/30/2_111/99.full.pdf|url-status=live|issn = 0164-2472 }}</ref>

These have been cited as factors why users, who as teenagers were MySpace's strongest audience in 2006 and 2007,<ref name="pcworld.com">{{cite web|last=Newman|first=Jared|url=http://www.pcworld.com/article/234806/myspace_4_lessons_learned_from_the_collapse.html|title=MySpace: 4 Lessons Learned from the Collapse|publisher=PCWorld|date=June 30, 2011|access-date=October 23, 2011|archive-date=October 8, 2011|archive-url=https://web.archive.org/web/20111008110525/http://www.pcworld.com/article/234806/myspace_4_lessons_learned_from_the_collapse.html|url-status=live}}</ref><ref>{{cite news|url=https://www.usatoday.com/tech/news/2006-01-08-myspace-teens_x.htm|work=USA Today|first1=Janet|last1=Kornblum|title=MySpace is the place|date=January 9, 2006|access-date=October 16, 2017|archive-date=March 10, 2012|archive-url=https://web.archive.org/web/20120310185316/http://www.usatoday.com/tech/news/2006-01-08-myspace-teens_x.htm|url-status=live}}</ref> had been migrating to Facebook, which started strongly with the 18-to-24 group (mostly college students)<ref>{{cite news|url=https://www.theguardian.com/world/2007/jun/26/usa.news?INTCMP=ILCNETTXT3487|location=London|work=The Guardian|first=Bobbie|last=Johnson|title=World news, US news, Technology, Digital media, Media, Facebook, Myspace, Research + Development (Technology), Social networking|date=June 26, 2007|access-date=December 15, 2016|archive-date=August 4, 2020|archive-url=https://web.archive.org/web/20200804091302/https://www.theguardian.com/world/2007/jun/26/usa.news?INTCMP=ILCNETTXT3487|url-status=live}}</ref> and has been much more successful than MySpace at attracting older users.<ref>{{cite web|last=Jesdanun|first=Anick|url=https://www.nbcnews.com/id/19717700|title=MySpace popularity with teens fizzles|publisher=NBC News|date=November 7, 2007|access-date=October 23, 2011|archive-date=November 4, 2013|archive-url=https://web.archive.org/web/20131104102750/http://www.nbcnews.com/id/19717700/|url-status=dead}}</ref><ref>{{cite web|last=Andrews|first=Robert|url=http://paidcontent.co.uk/article/419-myspace-bebo-audience-shrinking-as-facebook-surges-ahead/|title=MySpace, Bebo Audience Shrinking As Facebook Surges Ahead|publisher=paidContent|date=April 8, 2009|access-date=October 23, 2011|archive-date=October 9, 2011|archive-url=https://web.archive.org/web/20111009015008/http://paidcontent.co.uk/article/419-myspace-bebo-audience-shrinking-as-facebook-surges-ahead/|url-status=live}}</ref><ref>{{cite web|url=http://www.newsfactor.com/news/Facebook-Traffic-More-Than-Doubles/story.xhtml?story_id=10000BCLMR0W&full_skip=1|title=Facebook Traffic More Than Doubles in One Year|publisher=Newsfactor.com|date=March 16, 2009|access-date=October 23, 2011|archive-date=October 19, 2017|archive-url=https://web.archive.org/web/20171019135307/https://www.newsfactor.com/news/Facebook-Traffic-More-Than-Doubles/story.xhtml?story_id=10000BCLMR0W&full_skip=1|url-status=live}}</ref>

News Corporation chairman and CEO [[Rupert Murdoch]] was said to be frustrated that MySpace never met expectations as a distribution outlet for Fox studio content and missed the US$1 billion mark in total revenues.<ref>{{cite web|last=Grover|first=Ronald|url=http://www.businessweek.com/technology/content/apr2009/tc20090427_826659.htm|title=Murdoch Tightens His Grip on MySpace|work=BusinessWeek|date=April 27, 2009|access-date=October 23, 2011|archive-url=https://web.archive.org/web/20111013165021/http://www.businessweek.com/technology/content/apr2009/tc20090427_826659.htm|archive-date=13 October 2011}}</ref> This resulted in DeWolfe and Anderson gradually losing their status within Murdoch's inner circle of executives, as well as DeWolfe's mentor [[Peter Chernin]], president and COO of News Corporation, departing the company in June 2009. Former [[AOL]] executive Jonathan Miller, who joined News Corporation in charge of the digital media business, was in the job for three weeks when he shuffled MySpace's executive team in April 2009. MySpace president Tom Anderson stepped down while Chris DeWolfe was replaced as CEO by former Facebook COO [[Owen Van Natta]].<ref>{{cite news|url=https://money.cnn.com/2009/04/23/magazines/fortune/tech/myspace-dewolfe-miller.fortune/index.htm|publisher=CNN|first=Jessi|last=Hempel|title=MySpace shakeup: News Corp.'s morning-after plan|date=April 23, 2009}}</ref><ref>{{cite news|url=https://www.washingtonpost.com/wp-dyn/content/article/2009/04/22/AR2009042203524.html|newspaper=The Washington Post|first=Joseph|last=Tartakoff|title=paidContent.org – It's Official: Chris DeWolfe To Exit As MySpace CEO; Tom Anderson Out As President|date=April 23, 2009|access-date=October 16, 2017|archive-date=December 13, 2020|archive-url=https://web.archive.org/web/20201213183246/https://www.washingtonpost.com/wp-dyn/content/article/2009/04/22/AR2009042203524.html|url-status=live}}</ref> A meeting at News Corporation over the direction of MySpace in March 2009 was reportedly the catalyst for that management shakeup, with the Google search deal about to expire and the departure of key personnel (Myspace's COO, SVP of engineering, and SVP of strategy) to form a startup. Furthermore, the opening of extravagant new offices around the world was questioned, as Facebook did not have similarly expensive expansion plans but still attracted international users at a rapid rate.<ref name="bw-20110622" /> The changes to MySpace's executive ranks were followed in June 2009 by a layoff of 37.5% of its workforce (including 30% of its U.S. employees), reducing employees from 1,600 to 1,000.<ref name="bw-20110622" />

The downfall of MySpace can be attributed to many different factors. One of which was the demographic of MySpace and how they reacted to the debut of Facebook. When MySpace was launched, many of its users were people who never really used the internet before. As time went on, many users start to become frustrated with the very limited features of MySpace. Facebook launched with many quality of life features that MySpace simply did not have. So, a lot of users began to migrate from MySpace to Facebook.<ref>{{cite journal | vauthors=((Robards, B.)) | journal=Continuum: Journal of Media & Cultural Studies | title=Leaving MySpace, joining Facebook: 'Growing up' on social network sites. | volume=26 | issue=3 | pages=358–398 | date= June 2012 | doi=10.1080/10304312.2012.665836 | hdl=10072/46082 | url = https://www.researchgate.net/publication/254240442| hdl-access=free }}</ref>

According to Tim Vanderhook, the CEO of MySpace when it was owned by Viant, MySpace was killed by a “calculated takedown by Google over music”. Vanderhook alleges that Google used their recent acquisition of YouTube to take away a lot of the music deals they otherwise would have gotten by getting artists to put music on YouTube instead of MySpace. This utterly crippled MySpace as they had come to rely on the content of musical artists. Vanderhook also alleges that Google used their search engine algorithm to steer users away from MySpace and towards YouTube.<ref>{{Citation | vauthors=((Schneider, J.)) | year=2024 | title=MySpace CEO: Facebook Didn't Kill MySpace, Google Did – For Music | url=https://petapixel.com/2024/08/30/myspace-ceo-facebook-didnt-kill-myspace-google-did-for-music/}}</ref>

In 2009, MySpace implemented site redesigns as a way to get users back. However, this may have backfired, as users generally disliked tweaks and changes on Facebook.<ref name="pcworld.com" /><ref>''[[The Economist]]''. June 20–26 U.S. print edition. Page 8.</ref>

In March 2011, market research figures released by [[Comscore]] suggested that Myspace had lost 10 million users between January and February 2011, and had fallen from 95 million to 63 million unique users in the previous 12 months.<ref>{{cite news|url=https://www.telegraph.co.uk/technology/myspace/8404510/MySpace-loses-10-million-users-in-a-month.html|work=Daily Telegraph|location=UK|title=MySpace loses 10 million users in a month|date=March 24, 2011|access-date=March 26, 2011|first=Emma|last=Barnett|archive-date=November 12, 2020|archive-url=https://web.archive.org/web/20201112025721/http://www.telegraph.co.uk/technology/myspace/8404510/MySpace-loses-10-million-users-in-a-month.html|url-status=live}}</ref> Myspace registered its sharpest audience declines in February 2011, as traffic fell 44% from a year earlier to 37.7 million U.S. visitors. Advertisers were reported as unwilling to commit to long-term deals with the site.<ref>{{cite news |url=https://www.wsj.com/articles/SB10001424052748703576204576226620748953038 |title=Advertisers Wary of Myspace |newspaper=The Wall Street Journal |access-date=April 1, 2011 |url-access=subscription |archive-date=August 19, 2020 |archive-url=https://web.archive.org/web/20200819181023/https://www.wsj.com/articles/SB10001424052748703576204576226620748953038 |url-status=live }}</ref>

In late February 2011, News Corporation officially put the site up for sale for an estimated $50–200 million.<ref>{{cite news|url=https://www.reuters.com/article/idINIndia-54673520110205|work=Reuters|title=News Corp taps Allen & Co for MySpace interest|date=February 5, 2011|access-date=July 5, 2021|archive-date=October 19, 2021|archive-url=https://web.archive.org/web/20211019140332/https://www.reuters.com/article/idINIndia-54673520110205|url-status=live}}</ref> Losses from the last quarter of 2010 were $156 million, over double the previous year, which dragged down the otherwise strong results of News Corporation.<ref name="online.wsj.com"/><ref>{{cite news|url=https://www.wsj.com/articles/SB10001424052748703530504576164830897334082|work=The Wall Street Journal|first1=Jessica E.|last1=Vascellaro|first2=Russell|last2=Adams|title=Myspace Opens Books to Prospective Buyers|date=February 25, 2011|url-access=subscription|access-date=October 16, 2017|archive-date=August 4, 2020|archive-url=https://web.archive.org/web/20200804034221/https://www.wsj.com/articles/SB10001424052748703530504576164830897334082|url-status=live}}</ref> The deadline for bids, May 31, 2011, passed without any above the reserve price of $100 million being submitted.<ref>{{cite news|url=http://allthingsd.com/20110531/the-myspace-sweepstakes-drag-on-another-bid-deadline-today-as-sale-deadline-looms/|work=All Things D|first1=Kara|last1=Swisher|title=The Myspace Sweepstakes Drag on–Another Bid Deadline Today As Sale Deadline Looms|date=June 3, 2011|access-date=June 3, 2011|archive-date=February 1, 2013|archive-url=https://web.archive.org/web/20130201123038/http://allthingsd.com/20110531/the-myspace-sweepstakes-drag-on-another-bid-deadline-today-as-sale-deadline-looms/|url-status=live}}</ref> It has been said that the decline in users during the most recent quarter deterred several potential suitors.<ref name="online.wsj.com"/>

On June 29, 2011, Myspace announced in an email to label partners and press that it had been acquired by Specific Media for an undisclosed sum, which was rumored to be as low as $35 million.<ref>{{cite web|url=http://eon.businesswire.com/news/eon/20110629006943/en|title=Specific Media Acquires Myspace|publisher=Eon.businesswire.com|date=June 29, 2011|access-date=October 23, 2011|archive-url=https://web.archive.org/web/20110902034704/http://eon.businesswire.com/news/eon/20110629006943/en|archive-date=September 2, 2011|url-status=dead}}</ref><ref>{{cite news|url=https://www.bbc.co.uk/news/business-13969338|work=BBC News|title=MySpace sold to Specific Media by Murdoch's News Corp|date=June 29, 2011|access-date=July 21, 2018|archive-date=November 11, 2020|archive-url=https://web.archive.org/web/20201111190516/https://www.bbc.co.uk/news/business-13969338|url-status=live}}</ref> [[CNN]] reported that the site sold for $35 million, and noted that it was "far less than the $580 million News Corp. paid for Myspace in 2005."<ref>{{cite news|author=[[Laurie Segall]]|url=https://money.cnn.com/2011/06/29/technology/myspace_layoffs/index.htm?hpt=te_bn2|title=News Corp. sells Myspace to Specific Media|publisher=CNN|date=June 29, 2011|access-date=June 29, 2011|archive-date=October 29, 2020|archive-url=https://web.archive.org/web/20201029090429/https://money.cnn.com/2011/06/29/technology/myspace_layoffs/index.htm?hpt=te_bn2|url-status=live}}</ref> Murdoch went on to call the Myspace purchase a "huge mistake",<ref name="huge mistake">{{cite news|url=http://latimesblogs.latimes.com/entertainmentnewsbuzz/2011/10/news-corps-murdoch-calls-myspace-a-huge-mistake.html|title=News Corp.'s Rupert Murdoch calls Myspace buy a 'huge mistake'|publisher=Latimesblogs.latimes.com|date=October 21, 2011|access-date=June 30, 2012|archive-date=December 24, 2011|archive-url=https://web.archive.org/web/20111224180710/http://latimesblogs.latimes.com/entertainmentnewsbuzz/2011/10/news-corps-murdoch-calls-myspace-a-huge-mistake.html|url-status=live}}</ref> and ''[[Time (magazine)|Time]]'' magazine compared it to [[Time Warner]]'s 2000 purchase of [[AOL]], which saw a conglomerate trying to stay ahead of the competition.<ref name="Remember" /> Many former executives have gone on to further success after departing Myspace.<ref>{{cite web|url=http://allthingsd.com/20110613/is-there-a-myspace-mafia-too-because-leaving-it-seems-to-have-paid-off-for-many-ex-execs/?mod=googlenews|title=Myspace Might Be a Failure, But Its Ex-Execs Are Not – Kara Swisher – Social|publisher=AllThingsD|date=June 13, 2011|access-date=October 23, 2011|archive-date=November 11, 2011|archive-url=https://web.archive.org/web/20111111172323/http://allthingsd.com/20110613/is-there-a-myspace-mafia-too-because-leaving-it-seems-to-have-paid-off-for-many-ex-execs/?mod=googlenews|url-status=live}}</ref>