MySpace to Acquire imeem Music Streaming Service

Authored by Mark Hefflinger on November 19, 2009 - 9:29am.

Los Angeles - News Corp.'s (NYSE: NWS) MySpace has agreed to acquire streaming music service imeem for an undisclosed sum, although sources told CNET News.com that the deal is valued at about $8 million. The deal reportedly includes a payment of $1 million in cash, as well as earn outs and accounts receivable.

At least half of San Francisco-based imeem's 55 staff will also be laid off as a result of the acquisition, sources told CNET.

The streaming music service, which started off in 2003 as a music-focused social networking application, will likely remain a standalone service for a while, but a source told CNET that imeem may eventually be folded into MySpace Music.

http://snipurl.com/tbi8r (TechCrunch)

http://www.imeem.com