Earlier quoted context omitted.
Potential for what though? MySpace was purchased for $580mil, expectations were high. Who wants to turn MySpace into a little $10mil niche product? Certainly not Murdoch. And anyone with that ambition probably would rather start from scratch that associate themselves with a failed brand. It's all psychological.
Well put. I wasn't taking the half billion in acquisition cost into consideration. However, I think with their still-huge current audience, a couple of cool-by-association acquisitions(pandora,indeed) and celebrity spokespeople, it stands in a very good place. As a competitor to Facebook, they're sinking. But if social networking in this capacity turns, taking their medicine now for poor-sighted assumptions could mak…
Eh, Myspace was an eyeballs acquisition, not a talent acquisition. Myspace's lack of a proper engineering culture contributed to its fall from grace; Facebook's faster load times, quicker feature additions, and app platform play all stem from a better engineering culture, and helped it overtake Myspace.
That's actually one of Myspace's biggest problems: they have a history of shoddy engineering and architecture, so they can't attract top talent.