NEWS CORP SELLS STRUGGLING MYSPACE

News Corp. has sold their struggling social network MySpace for $35 million. The deal with online advertising network operator Specific Media is expected to close later Wednesday, a day before the end of News Corp.'s fiscal year. News Corp. will maintain less than a 5 percent stake in the company.

News Corp. bought the holding compay of MySpace in 2005 at the height of MySpace's popularity for $580 million. Since then MySpace has seen its users decline drastically due to the emergence of other more popular social networking sites, specifically Facebook.

Specific Media confirmed the acquisition but not the terms of the deal Wednesday.

"There are many synergies between our companies as we are both focused on enhancing digital media experiences by fueling connections with relevance and interest," said Specific Media CEO Tim Vanderhook, in a statement. "We look forward to combining our platforms to drive the next generation of digital innovation."

HULU CONFIRMS IT IS FOR SALE

Hulu has hired bankers Morgan Stanley and Guggenheim Partners to sell the online video site. Hulu is jointly owned by News Corp's Fox, Disney's ABC and Comcast's NBC (although NBC has no voting power or a seat on the board). Hulu has stated it is on track to generate over $500 million in revenue this year, making it a quite attractive property.

Earlier this week it was rumored Yahoo was interested in Hulu and had tendered an initial offer. No news on if that offer was considered, but the board has not met to discuss any offers, so it is doubtful Yahoo's offer was sufficient.

Last year, Hulu and Morgan Stanley floated the notion of an IPO, which went nowhere because the company couldn’t secure long-term exclusive content licenses from its owners.

NEWS CORP DAILY iPAD NEWSPAPER "THE DAILY" COST REVEALED

It’s looking like the digital publication could be available within the next two weeks according to News Corp CEO Rupert Murdoch’s son, James Murdoch. The Daily was originally rumored to launch on January 19th but was later postponed due to a reported delay in the iTunes subscription feature that Apple has been preparing. Other rumors have also linked the delay to Apple CEO Steve Jobs’ medical leave, however, as he presumably would have appeared at the launch event. The Daily will cost subscribers $0.99 per week and will be iPad only at first.

TIME WARNER, DISNEY AND NEWS CORP CHIME IN ON COMCAST/NBC MERGER

As Comcast, NBC and the FCC attempt to work out stipulations over Comcast's proposed 51 percent buyout of NBC Universal, a smattering of major media companies are paying close attention to the play-by-play. Naturally, the precedents that are set from this deal will affect future agreements of this caliber, and lobbyists for both Disney and News Corp. (as well as Time Warner CEO Jeff Bewkes) aren't standing over on the sidelines any longer. All three outfits have reportedly been "voicing their concerns this week with the FCC, worried that such conditions could undermine their own efforts to profit from the nascent online video industry."

We're told that the media mega-corps are worried that the rules -- if hammered down -- could interfere with ongoing negotiations with online video providers, and in turn, give them less leverage to monetize and control their content on the world wide web. In other words, if NBC Universal is forced to provide content fluidly to all ISPs (and not just Comcast), what's to say other content makers and internet providers wouldn't also be forced into similar deals, regardless of whether or not they're involved in takeover negotiations? Needless to say, we're nowhere near the end of this journey, and while the nuts and bolts are pretty dry to think about, the outcomes could have a serious impact on our future viewing habits.

RUMOR: MYSPACE TO LAY-OFF HALF OF ITS STAFF

According to the NetworkEffect blog, News Corp's MySpace is going to be laying-off half of its staff. MySpace currently employs 1,100 people mainly in the US. It recently underwent a major redesign to focus its content on entertainment. The parent company has instructed MySpace executives to start "drastic cost-cutting measures" immediately. Most of the employees were given the week between Christmas and New Years off as a way to save some money.

RUMOR: APPLE AND NEWS CORP ANNOUNCING iPAD ONLY NEWSPAPER

It seems like Apple and News Corp are indeed in cahoots on The Daily, a new iPad-only newspaper that would be the first support the iTunes subscription billing, and rumor has it, it will be announced December 9. The 9th, the rumors state is a Thursday, so it's possible it will get pushed to the week after, perhaps arriving along with the Mac App Store. [Gizmodo]

NEWS CORP. MAY SHUT DOWN MYSPACE

MySpace may be in some trouble. The once popular social networking site is in danger of being shuttered. According to News Corp. COO Chase Carey the site is losing tons of money and is unsustainable.

During on an earning call Carey said "We’ve been clear that MySpace is a problem. The current losses are not acceptable or sustainable." and he wants to see Myspace on “a clear path to profitability” on a timetable measured “in quarters, not in years.”

News Corp. paid $850 million for the networking site back in 2005. Of course this was before Facebook emerged and became the dominant force in the sector leaving MySpace in the dust. [Geek]

MYSPACE GETS A MAKEOVER

Myspace recently revealed a new logo, My[____], but the News Corp. owned social networking site didn't stop there.  They have launched a redesign of the aging site.  The new design features a new homepage and a renewed focus as an entertainment portal.  [Engadget]

APPLE TV RENTALS TO CHEAP FOR CONTENT OWNERS?

Warner Bros. Entertainment Chairman Barry Meyer told attendees of the very long named Bank of America / Merrill Lynch 2010 Media, Communications & Entertainment Conference that his company doesn't see a good value proposition in the TV show rental sector.  He went on to say  he doesn't want to "open up a rental business in television at a low price.”   This is probably due to the fact he doesn't want to cannibalize the licensing of entire seasons of shows to other broadcasters.

Currently, Apple only has Disney and News Corp signed for the launch of Apple TV.  CBS and NBC are waiting on the sidelines to see how things progress before jumping in. [NewTeeVee]