Monday, April 03, 2006
Murdoch Will Earn A Payday From MySpace - Forbes.com:
"...Of the top global sites in the Alexa rankings, six are U.S.-based. They are, in order, Yahoo! (nasdaq: YHOO - news - people ), Google (nasdaq: GOOG - news - people ), MSN from Microsoft (nasdaq: MSFT - news - people ), eBay (nasdaq: EBAY - news - people ), MySpace and Passport (again from Microsoft ). In terms of market cap, Yahoo!’s is $46 billion, Google’s is $115 billion and eBay’s is $56 billion. I leave Microsoft out of the picture because it is hard to say what part of its market cap can be attributed to its Web site properties, but one would expect that it would be a decent amount of its $280 billion market cap.
The reason I’m pulling up these numbers is that MySpace, the social networking site for 18- to 30-year-olds, is a peer, and while it’s not a pure play, market-listed Internet property, you would expect its worth to be somewhere in the region of its counterparts in the global top ten.
If this is the case, then its parent company, News Corp. (nyse: NWS - news - people ), is simply trading at the wrong price. News Corp. bought Intermix, owner of MySpace, last year for a mere $580 million, which in hindsight looks like the purchase of the century...."
"...Of the top global sites in the Alexa rankings, six are U.S.-based. They are, in order, Yahoo! (nasdaq: YHOO - news - people ), Google (nasdaq: GOOG - news - people ), MSN from Microsoft (nasdaq: MSFT - news - people ), eBay (nasdaq: EBAY - news - people ), MySpace and Passport (again from Microsoft ). In terms of market cap, Yahoo!’s is $46 billion, Google’s is $115 billion and eBay’s is $56 billion. I leave Microsoft out of the picture because it is hard to say what part of its market cap can be attributed to its Web site properties, but one would expect that it would be a decent amount of its $280 billion market cap.
The reason I’m pulling up these numbers is that MySpace, the social networking site for 18- to 30-year-olds, is a peer, and while it’s not a pure play, market-listed Internet property, you would expect its worth to be somewhere in the region of its counterparts in the global top ten.
If this is the case, then its parent company, News Corp. (nyse: NWS - news - people ), is simply trading at the wrong price. News Corp. bought Intermix, owner of MySpace, last year for a mere $580 million, which in hindsight looks like the purchase of the century...."
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