MySpace sold to advertising firm for $35 million

Specific Media will buy beleaguered social media site MySpace from News Corp. for $35 million.

Digital media firm Specific Media is the winner (loser?) in the race to buy beleaguered social media site MySpace, plunking down just $35 million for former Internet royalty, AllThingsD reports.

Specific Media takes the site off News Corporation's hands, which will retain a minority equity stake in the company. The terms were not disclosed.

MySpace CEO Mike Jones acknowledged in an e-mail to the company that he would stay on board for two months before departing, mostly to oversee "a series of restructuring initiatives" that includes "a significant reduction" in the company's workforce.

"I am very proud of the work we have done here and believe we have performed with excellence — even under extremely difficult circumstances," he wrote. "My time here at Myspace represents the most engaging and challenging time of my professional career."

Ironically, Specific wasn't very specific as to what it would do with the site, which has seen users depart in droves over the last couple of years.

All CEO Tim Venderhook would acknowledge was that the companies would combine their platforms; Specific specializes mostly in advertising innovation, so it should be interesting to how Specific tries to monetize what's left of the MySpace user base.