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.
Based on Hitwise stats, Photobucket is the third most popular destination for MySpace users after Google and Yahoo.
UPDATE: Fox Interactive Media, a division of News Corporation, announced separate agreements to acquire Photobucket and Flektor, Inc.. Terms of the deals were not disclosed.
Originally posted on May 30, 2007 @ 10:05 am
Is anyone but me having trouble with all the recent acquisitions lately? My head is beginning to spin…
http://www.nonlinear.ca/blog/index.php/2007/05/30/recent-acquisitions-round-up-and-analysis/
Leading Silicon Valley entrepreneur and strategy consultant Sramana Mitra, outlines a strategy on how News Corp. owned MySpace should charge Photobucket and all the other services that have sprouted around the MySpace eco-system. Link: http://sramanamitra.com/blog/885