News Corp. Eyes Yahoo!

NEW YORK, June 20: News
Corporation is said to be exploring the possibility of swapping its MySpace
social networking site for a 25-percent stake in Internet giant Yahoo!, reports
indicate.

The discussions are still
at a tentative stage, according to reports. The deal being considered would
give Yahoo! control over MySpace as well as some other News Corp. digital
assets, such as IGN. News Corp., in return, would receive 25 percent of
Yahoo!—a stake said to be worth about $12 billion. MySpace was acquired by
News Corp. for $580 million.

Yahoo! has been keen to
get into the social networking space, last year attempting to acquire Facebook
for $1 billion.