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MySpace sees money in mobile music

20 февраля 2009

Social networking site MySpace is looking to use its substantial network of music relationships to generate cash through targeted mobile music services.

Co-founder and Chief Executive Chris DeWolfe told Dow Jones Newswires in an interview at the Mobile World Congress in Barcelona that the group would be rolling out new music and event related services to its mobile Web site in the coming months.

"Selling tickets, merchandising, ringtones, we're going to move that to mobile," he said,"and location-based services also offer interesting scenarios."

The Internet social networking site, owned by News Corp., the publisher of the Dow Jones Newswire, has built its 135 million person user-base through friends sharing blogs and pictures or recommending music and events.

Music has emerged as one of its strongest selling points. It has a joint venture with four of the major music labels which allows it to stream music on its site and it has been credited with the discovery of U.K. artist Lily Allen.

The company makes its money selling highly targeted advertising on its PC-based Web site and through its mobile site, which is growing quickly alongside the popularity of mobile social networking.

Unlike its now larger rival Facebook, MySpace has successfully made money from advertising on its Web site, and it is looking to tap into the growing demand for mobile social networking to continue this trend.

Currently PC-based advertising is clearly the largest proportion of MySpace revenue, but DeWolfe said the gap will close over the long-term.

He sees opportunities in mobile e-commerce, shopping by mobile, click-to-call, which allows users to click on a telephone number in a Web site to be connected immediately, and location-based services, which can allow advertising to target mobile users in specific locations.

The latter is a delicate subject for both mobile operators and the companies keen to capitalize on location-based advertising, as it raises privacy issues which are being roundly debated at the moment.

DeWolfe said if they were to offer location based services, which they currently don't, they would need to be very transparent and should be 'opt-in'.

Источник: Total Telecom

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