MySpace & Google or MSN Hooking Up Over Search?
Despite the sponsored listings in MySpace search being served via Yahoo Search Marketing, Revolution Magazine is reporting that, with over 43 million searches performed per month, MySpace is talking with Google and MSN Search about powering the MySpace Social Network.
MySpace, the social networking portal, is believed to be discussing a potential internet search link-up with either Microsoft or Google, which would consolidate the News Corporation-owned site’s position as the most popular internet networking website.
The deal would mean that MySpace, which has more than 75m registered users worldwide, would let either Microsoft or Google supply internet searches on its homepages, along with tie-in ads.
MySpace was bought by Rupert Murdoch’s News Corp last year for $580m, and similar deals in the past have seen companies splitting ad revenue, with the majority going to the website that provides the audience.
The Financial Times today reported that Microsoft and Google are each in talks with MySpace regarding the venture.
My best bet is that this all comes down to which search service will better monetize MySpace via search advertising and contextual ads. With Google’s new Google ‘Click-Per-Play’ Video Ads, I would assume that they’d have the upper hand in this case. However, MSN adCenter is positioning itself to become a strong leader in the ad market with behavioral and demographic targeting.
I do wonder however, with Yahoo Search Marketing currently supplying the sponsored ads for MySpace search and having Yahoo Publisher Network under its hood (despite the questions regarding the quality of MySpace traffic referred to YSM advertiser sites), why aren’t they in the picture?
Best guess is that Yahoo is long term competition for MySpace and vice-versa.
Which brings us back to Google Video Ads on MySpace.. with big media behind the Video Ads and ability to regionally target for local businesses, bars and events, sounds like a surefire fit to me – especially given the multimedia base of MySpace.