News Corp reveals just how much it lost on MySpace

Clue: it's a lot

News Corp's financials are in and with it the company has revealed just how much it lost on the sale of MySpace.

The results were a mixed bag for a company that has had a number of upsets in recent weeks, including a hacking scandal which lead to the closure of the News Of The World and also meant the company had to back down on its bid to take full control of BSkyB.

Before the hacking scandal, however, the company had also sold MySpace off for what has turned out to be a massive loss.

Revenues up

According to reports, News Corp's selling of MySpace lost the company 10 cents a share, which equates to a $254 million (£157 million) after-tax loss.

It actually sold the social network for just $35 million (£22 million), even though it bought it for $580 million (£360 million) back in 2005.

It wasn't all bad news. Despite a 22 per cent drop of earnings in the quarter, News Corp did manage to post better than expected revenues (11 per cent) and has upped its dividend as a result.

Via Wall Street Journal


Content Team Lead

Marc (Twitter, Google+) is the content team lead for Future Technology, where he is in charge of a 14-strong team of journalists who write many of the wonderful stories that end up on TechRadar, and T3 magazine. Prior to this he was deputy editor of TechRadar, had a 10-month stint editing a weekly iPad magazine, written film reviews for a whole host of publications and has been an integral part of many magazines that are no longer with us.