DISQUS

George Tsiolis · 3 years ago

Hi, Mathew. The day I heard MySpace had been purchased for more than $500 million, I was shocked. Not at the price tag - but at the fact that a major media firm would spend that amount of money on a site that could easily become "uncool" in very short order.

We all know one thing about teenagers - they move on to newer things pretty quickly. Nightclubs and hangouts are quickly abandoned by the "in" crowd once the masses move in. It's a certainty with very rare exceptions, so why would their online behaviour be any different?

Abandonment of MySpace will only accelerate once commercialization becomes a greater priority. As such, Rupert Murdoch has a very tough choice:

1] Don't commercalize (= no $$$)
2] Commercialize (= lose the source of commercialization)

Either way, the future does not look good.

Assuming that commercialization is not an issue, you then have to consider new entrants into the space from the likes of Yahoo, AOL and MSN. They'll have spent far less than $550 million to create their own versions, while building in much greater functionality.

Best,
George

George Tsiolis · 3 years ago

Mathew, can't find your e-mail address here. Can you e-mail me regarding our conversation @ Mesh?