MySpace Music will get $100 million risk investment

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September 15, according to foreign media reports, the famous technology blog TechCrunch.com founder Michael Arrington published blog article on Sunday said MySpace is currently negotiating with venture capital firms, considering to raise 100 million U.S. dollars of venture capital for the music service MySpace Music launched this month. According to the financing scale of MySpace Music, its market value has reached over 2 billion U.S. dollars.

MySpace Music by the three major music companies and MySpace co-financing the establishment of the joint venture. The three music companies are Universal Music Group (Universal Music Group), Sony BMG Music Entertainment and Warner Music Group (Warner Music Group), they will hold a minority stake in MySpace Music. MySpace Music will be some time this month formally launched. MySpace Music will be advertising, paid MP3 downloads, ring tones, art exhibition ticket sales and merchandise to support, to provide free broadcast audio and video streaming services. It is said that for the establishment of MySpace Music, MySpace will venture into new music all the assets and to provide 120 million U.S. dollars of funds. MySpace removed, the three major music companies will MySpace Music for the injection of millions to tens of millions of dollars.

MySpace parent company News Corp. and NBC joint venture company set up video Hulu, in 2007 from venture capital firms Providence Equity Partners hands was 100 million U.S. dollars of venture capital. At that time, Hulu for the valuation of 100 million U.S. dollars. It is reported that MySpace Music in the current round of financing them, Providence Equity Partners will remain its investment.

In a company CEO has not before, few investors would consider investing in these companies. It is said, MySpace has been in the market hunting for the MySpace Music CEO, and former chief operating officer of Facebook Owen Fan - the tower (Owen Van Natta) will likely become a MySpace this month launched a music service, chief executive of MySpace Music Officer.

Last summer, Facebook executives have been adjusted to, Natta into the post by the chief operating officer, chief revenue officer and vice president of operations. He then indicated that he has done in his Facebook can do everything, now hopes to become a consumer Internet company's chief executive officer. Natta at the beginning of this year separation. Perhaps his MySpace Music will be provided by the need of jobs. Natta Facebook is still a large number of shares, the value is very high. Microsoft spent 240 million U.S. dollars acquisition of Facebook 1.6% of the shares, in accordance with the terms, Facebook's valuation as high as 15 billion U.S. dollars. Before joining Facebook, Natta in the Amazon as the global business and corporate development vice president, is the founder of A9.com search engine. He was in September 2005 joined Facebook, is mainly responsible for operating and financial strategies.

But in the TechCrunch50 held early this week MySpace CEO Chris DeWolfe said that they are willing to wait for a longer time to find suitable person for MySpace Music, but the seeking of CEO will not affect the publish of MySpace Music.