News Corp.’s Fox Interactive Media, parent company of social networking site MySpace, is currently negotiating for acquisition of Photobucket, a popular Web site for storing personal photos, graphics, slideshows and videos, for an estimated amount $250 million. However, official figures are not yet disclosed.
After operating for about 4 years, Photobucket contains approximately 2.8 billion images coming from 41 million registered users worldwide. Ranked as the 22nd most visited Web site in US, it is a dominant market leader in the US online photo market with about 40% market share.
Recently, there had been a friction between MySpace and Photobucket over some technical disputes. MySpace accused Photobucket of violating some of its house rules, prompting them to block traffic from its site to Photobucket. Last April 23, both companies made peace and established procedures to prevent the same situation from happening again.