21st Century South Sea Bubble

Remember when Myspace was Facebook?  The site everyone just had to have a page on?  Seems a long time ago now, but there really was a time.  In fact those of us of a certain age and disposition – i.e. anyone involved with an unsigned band – can remember the angst and worry going round when News Corp bought Myspace. 

Was every channel on Myspace now just a small part of the News International empire?  Well, yes, probably... Would Rupe have a claim on all the music we were uploading?  Perhaps, although push never came to shove on that one.

That was 2005 and £362 million changed hands.  Last week News Corp sold all but 5% of Myspace.  For £22 million.  Still a considerable chunk of change, but you don’t need to be an accountant to spot it isn’t the best bit of business the ex-Australian paperboy’s done.

But then, getting burned on a social networking site deal is probably not top of Rupert’s agenda right now...

The moral of this story is, the value of shares can go down as well as up.  Terms & conditions apply.