The social media world is both reeling and rejoicing over the recent $1.65 billion Google acquisition of YouTube. With their $900 million deal with MySpace for video advertising back in August, and their recent foray into entertainment Google has nearly monopolized the social video space. Microsoft and Yahoo both have plans in the works including Yahoo’s interest in purchasing Facebook and Microsoft’s expected anouncement of its own (surprise, surprise) video sharing network.
However, MySpace’s parent, News Corp, appears to have the most jitters about this deal. Rumor has it that MySpace is planning on blocking YouTube content from its site (MySpace Panics: Talks With Google, May Block YouTube - Mashable!)
Needless to say, the recent 9 and 10 figure deals for social media sites are a good indication that Web 2.0 is well underway to being the dominant news, information, advertising and entertainment medium.
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