MySpace Plus Photobucket Equals More Space

A CNET report has confirmed that social networking site MySpace will acquire Photobucket, the Web’s top photo-sharing service. The acquisition will most likely cost about $300 million, according to the report.

Storage space and traffice is definitely out of the question. Photobucket is said to have 40 million registered users while MySpace reportedly has a hundred million. Forrester Research analyst James McQuivey mentioned in the report,

"But that’s not the reason you’d buy. You do it if there is some benefit that you can’t offer the market unless you combine the two services. I don’t know what kind of synergies there are; whether it’s driving up the attention of users or prompting people to share more with friends. The question now is how is MySpace going to use Photobucket?"

I do hope that Photobucket will continue to operate like an independent firm, just like what Google did with YouTube. This acquisition may just be typical of 900-pound gorillas, but sorting out differences and making each other better will surely benefit consumers.

This entry was posted on Tuesday, May 8th, 2007 at 7:00 and is filed under Web News. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.