MySpace Doesn’t Want You to Make Money

In the continuing saga of MySpace vs. third-parties-who-want-to-make-a-buck, MySpace recently blocked Revver. TechCrunch got MySpace PR to explain why it happened.

If a widget violates our TOS, we block them. Breaches would include any person, widget or software that violates copyright, poses security risks, distributes pornography or engages in commercial activity. Commercial activity includes selling ads on a MySpace page through their widget or software.

Clearly, MySpace has the right to shut them down, given their terms of service agreements. The more interesting question is the stance that the company will take in the long run with respect to the openness of their pages. Much of their success was built upon the user experience third party plug-ins/widgets provided. Now that they are big, perhaps they think they don’t need the help anymore? That would be a short-sighted stance. The Web is a big and varied place. Walled properties don’t have a history of doing well.

Source: MySpace: Why We Block Widgets

About Simeon Simeonov

Entrepreneur. Investor. Trusted advisor.
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17 Responses to MySpace Doesn’t Want You to Make Money

  1. EelKat says:

    I was very disapointed, after joining MySpace, to learn that they did not allow users to add such things as ad-links. I think that if they started allowing that, more people would be earning money, thus useing MySpace more, and resulting in them making a bigger profit too… a win-win situation if you ask me

  2. I like to think this appalling short-sightedness belongs to the bureaucrats who administer MySpace and not to the strategists at News Corp who justified the $580M investment.

    Widgets, plug-ins or just adlinks – technology is less important in this case. What makes the so called ‘Web 2.0’ economically important is the diffusion and overlaps of socio-economic entities like customers, employees and, for that matter, investors.

    UGC is great, isn’t it? Well, if your customers are creating your content, they are your ‘production department’ then, de-facto employees working for your business. If they share, recommend and virally spread this content, they are employees in your marketing department. And if they advise newbies in the forums or help each other make the most from the site, they are customer service employees. Employees need to be paid, there is no such thing as a free lunch! Not necessarily paying them a salary, but (why not?) allowing them to make a little money, in a two-way value chain.

    Sim blogged here earlier (and wrote a Wiki) about Social Commerce, and pointed to the TrendWatcher’s observation of ‘Generation C’. The ‘C’ was originally for Content, but more recently became ‘Generation CA$H’.

    Value flows best two-ways, and those blind to the fact have embraced ‘Web 2.0’ for the wrong reasons and are living in the 20th century.

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  6. Kyle says:

    MySpace is always doing stuff like this. I personally think its to prevent spammers, from posting links everywhere.

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  8. T.M. Harris says:

    Here’s a ‘loophole’ to dodge the myspace admins…

    If you post relevant content to your myspace blog, and add niche-related friends to your friends list…make sure you also visit your new friend’s blog, and click ‘Invite to My Blog’ underneath their pic.

    If they subscribe, then myspace will notify them on their home page whenever you make a blog post.

    All I know is that my blog posts to my subscribers pull in more traffic than corny old bulletins.

  9. Tom says:

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  10. Hafiz says:

    It’s too bad that they don’t want you to make money, but I think that there are much better ways to earn cash.
    Check some out at my blog:

  11. John Yancy says:

    So much for making money with myspace…I’m gonna try making an application for facebook, or with my new blog.
    Check it out and tell me what you think

  12. Even if myspace is trying to cut down advertising, it’s still a great place to build relationships. If you’re selling a quality product at a relatively high price, you can list your myspace link on your business card. People will go there to see who you really are.

    You’ll sell more to people you build relationships with. Myspace is one tool–even if you don’t directly sell from there.

  13. Peter Parks says:

    I’ve always found the most profitable way to find a market is to do your research within the forum niches you plan to walk into. i.e. if your into sport fishing and you want to target that particlular niche, you want to head directly over the all the popular sport fishing forums, look for the most active threads and post, and see what your market is telling you. If you can’t find a product to sell via an affiliate program, then ask your niche what they really would like to see in the marketplace and quickly develop a product for free and sell it to them. Its a very easy process and I teach it to my students and clients all the time over at my site hope that helps

  14. Good point about the walled properties. Reminds me of the Soviet Union. It’s a little reminicient of Microsoft treating their customers like dirt because they feel they are on top of the world. If they keep it up the giant surely will fall.

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