My Way Finance

My Way Finance: "MySpace may be worth $15 billion



Wednesday September 27, 9:49 PM EDT


SAN FRANCISCO (Reuters) - MySpace, the social networking Web site, could be worth around $15 billion within three years, measured in terms of the value created for shareholders of parent company News Corp. (NWSa), a Wall Street media analyst forecast on Wednesday.
RBC Capital analyst Jordan Rohan said he had come away from a meeting with Fox Interactive, the managers of MySpace, believing that 'media investors may not fully appreciate what has already been done with MySpace or what may lie ahead.'
'$15 billion in a few years? It is possible,' Rohan wrote in a research note to clients.
MySpace was acquired by Rupert Murdoch's News Corp. for $580 million less than a year ago. It now boasts more than 90 million active users.

Rohan said MySpace could demonstrate a value of between $10 billion and $20 billion within a few years. Acknowledging he was making an 'audacious claim' he justified the forecast on the basis of MySpace's 'raw, unprecedented user/usage growth.'"