Posts Tagged: ‘News Corp’

Wow, it’s true. If you type a word often enough, it starts to lose its meaning. But before I start to use the word hack as a koan in a meditation session, I thought it would be a good idea to do a quick news roundup of some hacking stories. Not all hacks are created equal the use of the words hack, hackers and hacking can sometimes be misleading.

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Gather ’round, my friends, and let me tell you a tale of a giant that was brought to its knees. It’s a cautionary tale with a simple moral: Never assume you’ll always be number one. Chris and I have blogged about Myspace before. Back in February, I blogged about News Corp possibly selling the company off to whomever would be willing to take it. Chris blogged about massive layoffs at Myspace. Both of these posts came after Myspace’s attempt at a relaunch that saw the site refocus on becoming an entertainment portal. And now the news is that News Corp has indeed sold off the company at a huge loss.

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I feel awful for MySpace. It was the first social network I ever joined. I convinced friends to sign up, found folks I had lost touch with and connected with people who lived on the other side of the country from me. At the time I joined, it was the best option I had available — Facebook reserved profiles for high school and college students and I had graduated years earlier.

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I think it’s safe to assume Rupert Murdoch is a very smart man. He’s certainly an extremely wealthy man — he’s number 37 on Forbes’ list of the 400 richest Americans in 2009. As the executive who makes the big bucks for guiding News Corp., he’s used to making headlines (figuratively and literally).

Murdoch has called out Google on a number of occasions, claiming the search engine steals News Corp. content by displaying a news excerpt along with a link to News Corp. pages. Murdoch’s argument is that the excerpt may be enough to satisfy a reader, meaning that person won’t take the extra step to click on the link and visit the news source. Since most news companies rely on ad support to make money, fewer clicks means fewer dollars.

In a recent interview with Australia’s Sky News (below), Murdoch says that News Corp. is looking at ways to charge visitors to access content. This could include anything from news articles to video entertainment. Murdoch says that companies made mistakes with the Web and should never have offered content for free. He says that Web advertising doesn’t generate the revenue companies are looking for. Personally, I think that’s due to placing too much emphasis on advertising in traditional media rather than on the Web.

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