Timberlake Branching Out-MySpace By Hope Wilkos, Writer/Blogger
We all saw Justin Timberlake play the part of a Facebook entrepreneur in the movie ‘The Social Network’ recently but now he is making that role become his reality.
Last Wednesday in a very strategic move, Justin Timberlake became partial owner of MySpace along with Specific Media. MySpace originally launched in 2003. Justin will take a very active part in the company and have an office at the Beverly Hills headquarters along with a staff of about half a dozen people.
MySpace began to lose ground with the arrival of strong competitors such as Facebook and Twitter.
Timberlake is expressive and creative and believes others should have a common avenue to express themselves openly. This will be the basis of the new concept to put MySpace back on top.
This deal closed with the hefty price tag of $35 million, mostly in Specific Media stock. Even though this seems like a rather steep cost, News Corp. paid $580 million for the site six years ago. As part of the exchange, News Corp. received a private equity stake in Specific Media and less than a 5% stake in MySpace.
This purchase could invigorate the site and there will be an investment in technology. MySpace music will give the site the opportunity to stream music. Timberlake feels that this site can be made into a place for fans to really connect with their favorite artists, listen to music and watch video.
MySpace CEO Mike Jones, the last member of a three-member executive team appointed back in 2009, has agreed to help with the transition for two months before leaving.
We will be anxious to see if Justin Timberlake and Specific Media can pull this one off and truly create a successful venture.
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