MySpace, the social networking website owned by News Corp's and Google Inc have achieved a multiyear search and advertising agreement, ending months of uncertainty surrounding the partnership between the two. According to this new deal, Google will not only empower the MySpace search results and search advertising but also provide all additional display ad services. And yet again the Terms and financial aspect of the agreement were not disclosed.
Under the previous deal singed sometime in 2006, Google had guaranteed an amount of $900 million to News Corp in exchange of the right to sell advertisements related to user searches on MySpace with some other small News Corp websites as well, over the time period of three years. But the deal expired in June, hence it was temporarily extended as News Corp and Google continued talks about the renewal of their agreement. It is anticipated by many experts that News Corp will not be able to sign an agreement to come off as profitable as the original deal as News Corp has also reached out to Microsoft Corp and Yahoo for powering search advertising on MySpace as well.
Chase Carey, the CEO of News Corp updated the media in November that the company is open to a sale or partnership with MySpace. He expressed his beliefs in following words:"There are opportunities here to do 20 things (with MySpace) but that doesn't mean you're going to do any of the 20. If there's something there that makes sense you ought to think about it."
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