Fox Interactive gets 27 percent of its revenue from an ad deal between Google and MySpace forged in August 2006. Meanwhile, Google executives complain about how hard it is to monetize social networking traffic. Funny how deals that looked like pure genius a few months ago can backfire. Here’s the score: Rupert Murdoch: $900 million, the guaranteed revenue Google promised MySpace through 2010. Google: Something north of zero but probably below expectations. On Google’s fourth quarter earnings call, Google’s Sergey Brin said about social networking inventory: “We have an incredible amount of this inventory,” said Brin, president of technology. “I don’t think we have the killer best way to monetize social networks yet. We have had a lot of experiments (and some disappointments).” Google wasn’t naming names, but it’s pretty clear that MySpace is a big piece of the monetization puzzle. Here’s what’s really going on: Officially, Google modeled the MySpace deal to pay off down toward the end of the partnership, but it had expected to exceed expectations. Now that the MySpace deal isn’t overdelivering you get comments that reveal a little frustration from Google management.http://blogs.zdnet.com/BTL/?p=7889
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