MySpace could be TheirSpace

By Andrew Wallenstein and Alex Woodson

LOS ANGELES (Hollywood Reporter) - News Corp. is "in very active negotiations with all the media companies" to bring their content to its MySpace property, the firm's top interactive-media executive said Wednesday.

Currently, only shows from News Corp.-owned Fox, such as "24" and "Prison Break," are available on the media giant's social networking portal.

Peter Levinsohn, president of Fox Interactive Media, also said during the Bear Stearns Media Conference in Palm Beach, Fla., that a multinetwork video site that would be a rival to YouTube would be in MySpace's interests. "There's certainly an opportunity for the media companies to get together," Levinsohn said. "MySpace will be a huge beneficiary of that."

In recent months, there has been increasing speculation that multiple media companies could band together to establish an online video platform that could rival YouTube, which is enmeshed in negotiations to license their content. Fox has taken recent steps to put its own programming on MySpace as well as the sites of its affiliates.

Levinsohn said MySpace has been successful in tapping international markets as well. They have rolled out the service in 10 countries -- several in Western Europe, Canada, Australia, Japan and New Zealand -- and Levinsohn said the service is the No. 1 social networking site in the U.K. and Australia.

Speaking about News Corp.'s other Internet properties, Levinsohn said he was "happy" with IGN, a network of gaming and entertainment sites, which is coming off its biggest quarter everbut added the company could do a "better job" of monetization with FoxSports.com.

Overall, Levinsohn said Fox Interactive Media was on track to generate $500 million for the fiscal year. Last quarter, the group took in $125 million.

Merrill Lynch issued a report this week hailing the unit for its growth potential, projecting a doubling of ad sales by 2009. Expansion of its ad-sales staff and improved technology are cited as key drivers of increasing cost-per-thousands on MySpace.

Reuters/Hollywood Reporter