Okay, so maybe not $15B for Myspace, and perhaps Facebook should sell sooner rather than later...
The rise of these social-networking sites is another sign of the shifting tastes on the Internet, as niche audiences flock to new alternatives to MySpace and Facebook. That potentially spells trouble for those two incumbents, as fickle online audiences can increasingly divide their time between more sites. Indeed, the social-networking space already has shown itself to be vulnerable to the latest fad. Four years ago, Friendster pioneered social networking but was quickly overtaken by rivals as it suffered from technical problems. The new sites -- and their investors -- could benefit if young people similarly get tired of MySpace and Facebook and start to drift away.
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