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."
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