Erick Schonfeld submits: During yesterday’s News Corp. earnings call ,
Rupert Murdoch and COO Peter Chernin talked a little bit about the
weakness at MySpace (see transcript ). They expect Fox Interactive Media (which includes
MySpace, Photobucket, IGN, and other properties) to miss its $1 billion
revenue goal by the end of News Corp.’s (NWS) fiscal year next quarter.
Instead, they expect FIM to reach $900 million for the fiscal year. (No
surprise there. We predicted the shortfall
a month ago). And in the quarter they just reported, revenues for FIM
were actually down 10 percent, from $233 million to $210 million.
The culprit: There is too much inventory, and not enough
clickthroughs. As a result both brands (and, more importantly,
“friends” on MySpace) remain skeptical. Dumping ads on MySpace without
targeting them simply doesn’t work. Complete Story » ...
Anytime
Erick Schonfeld submits: During yesterday’s News Corp. earnings call ,
Rupert Murdoch and COO Peter Chernin talked a little bit about the
weakness at MySpace (see transcript ). They expect Fox Interactive Media (which includes
MySpace, Photobucket, IGN, and other properties) to miss its $1 billion
revenue goal by the end of News Corp.’s (NWS) fiscal year next quarter.
Instead, they expect FIM to reach $900 million for the fiscal year. (No
surprise there. We predicted the shortfall
a month ago). And in the quarter they just reported, revenues for FIM
were actually down 10 percent, from $233 million to $210 million.
The culprit: There is too much inventory, and not enough
clickthroughs. As a result both brands (and, more importantly,
“friends” on MySpace) remain skeptical. Dumping ads on MySpace without
targeting them simply doesn’t work. Complete Story » ...