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MySpace to Vevo?

MYSPACE TO VEVO? News Corp. has been in discussions with Vevo to take over MySpace. According to Bloomberg, the company approached the UMG/Sony Music/Abu Dhabi Media Company  venture about assuming operating control of the social network in exchange for a stake in a new venture. That is one of a number of offers Rupert Murdoch is reportedly entertaining for MySpace and hopes to reach a deal before News Corp.’s fiscal year ends in June. Vevo could conceivably tap into MySpace’s music assets, which include artist and fan pages. News Corp. originally acquired MySpace in July 2005 for $580 million, with its chief rival Facebook now valued at more than $65 billion. MySpace posted an operating loss of $156 million in the quarter ended Dec. 31. (3/29p)

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