MySpace to stop free music streaming - the end is nearPosted on 07/07/10
The free streaming on MySpace may soon be history. According to people close to the News Corp. owned company, MySpace wants to move its MySpace Music section to a paid model. At the moment MySpace is rumoured to be spending $20 million/month (!) on streaming royalties. However sources close to MySpace say that the royalty payments are a lot lower although the service is indeed burning money at a fast pace. Fact is that News Corp. have a huge cash flow problem with the company. The Google search deal is up this month and MySpace sees a $300 million/year in revenue evaporate.
DOWNLOAD THE FREE 54-TRACK COMPILATION "Matrix Downloaded 003" NOW !
Recent reports say that the site's owner News Corp. is in discussions with Google Inc., Microsoft Corp. and Yahoo Inc. about replacing MySpace's crucial search-advertising partnership with Google. However, it looks like it that MySpace will soon be up for sale instead of being continued by News Corp. Fox Audience Network, which serves most of the ads on MySpace, is up for sale. If Fox Audience Network is sold, it's pretty sure that MySpace will follow the same way.
Add to that that MySpace Music was driving most of the searches that made up the massive page view obligations that MySpace had under the Google Agreement. With free music going away, those page views will go away, too. Meaning a search deal is even less lucrative. Add to that the news that was revealed yesterday by Techcrunch.com which says that visits to MySpace UK have halved in 6 months. In a desperate attempt to get the visit rates up, MySpace UK has been using a strategy of buying up cheap and sometimes unrelated Google keyword ads in order to generate 'dirty' traffic to bump up the publicly accessible comScore stats. And, if that wasn't bad enough, it seems that Facebook.com is the third biggest referrer of traffic to the site. In other words, Facebook is ironically keeping the site alive for the moment.
So bands who still count on MySpace, better start rethinking your strategy, because you'll soon be without a space (pun intended).
Posted by B. Van Isacker
More related news :
#366: A life lived announce 2 remix albums
#366: A Life Lived release 'Demo 2013' demo
#366: A Life Lived release EP in October, new video 'Exit Saved' out now
#366: A Live Lived plan 2nd album for Janyary 2014
'A Synthesizer for Christmas' animated Hyperbubble video
'Electro Tribute To Oasis' released on Eternal Sunday Records
'Face The Beat Vol. 1' available now... for free !
'Gangnam Style' parody 'Whitby Gothic Style' goes over 230.000 views on YouTube
'Human Centipede' sequel barred from UK distribution for being 'too obscene'
'I Dream of Wires: Hardcore Edition' to hit stores on DVD and Blu-ray in early December
The 28th edition of the Suikerrock Festival, which takes place in the center of Tienen (BE) from 1-3 August has completed its line-up. (...)
Clint Carney from System Syn, Imperative Reaction and God Module starts fundraiser for new indie film
Clint Carney from System Syn, Imperative Reaction and God Module informs us that he wrote and is producing an upcoming movie called 'The Violent', based around a group of punks in the mid 90s. (...)
Available now on DVD+CD is the jubilee show of Mexican Hard Electro pioneers Hocico, which took place on August 30th, 2013 at Berlin's Bi Nuu club. (...)
Also out on Dodsdans is the Mobile Homes' 25th anniversary album 'Today is Your Lucky Day' on vinyl. (...)
Out on Dodsdans on vinyl is the new Swedish minimal synth vinyl compilation 'Elektronik Och Skrammeldisko'. (...)
A new tour, a new live DVD, the recipe is well known by now. Out in September is a brand new Depeche Mode live DVD including the 2 concerts the band gave on 25 and 27 November 2013 at the Berlin O2 World venue during their Delta Machine Tour. (...)
Massive vinyl reissues of Front Line Assembly's 'Improvised Electronic Device' album - get yours now!
SUBSCRIBE TO OUR DAILY NEWSLETTER