MAIN NEWS HEADLINES
December 6 – December 13, 2007 Edition
News Corp Dispels
Rumors of Linkedin
Social Network Takeover
NEW YORK,NY/12/3/07–Rumors that Rupert Murdoch’s News Corp is holding takeover discussions with Linkedin, the social network, are false, according to a story today by Reuters, which quotes “a source familiar with the matter.”
The rumor reportedly began in the United Kingdom, and said that the two companies were considering a $1 billion deal. Neither party would comment, but the source said no such deal is underway.
Linkedin is the rapidly-growing social networking site for professionals. Analysts told Reuters that a takeover would make strategic sense. Linked could provide the technology and services to connect business readers with Dow Jones publications (Murdoch’s News Corp recently bought the Wall Street Journal for $5.6 billion). But any deal, analysts say, would hinge on price.
News Corp’s Fox Interactive Media (FIM) instead might fill a similar role at MySpace, which soon will let users create different profiles to attract different audiences, such as business contacts or family members. The model could be readily adapted to Dow Jones readers and customers.