internet - MySpace heading for China

Richard Murdoch's latest media project, MySpace, is heading for China as his wife Wendi Deng is involved in negotiations, Business Week reveals. Murdoch has been less that successful in getting his traditional media working in China, but has recently converted to the new media. But also in the new media foreign companies will face an uphill battle, as Google, Yahoo and Ebay have been noting.
Business Week spells out different options and calls Chinese social networkings portals like Sohu successful, but it does not define what 'success' actually means. In terms of revenue have the gaming companies been relatively successful, but other internet companies get most of their revenue from SMS-messages, a business where they are at the mercy of telecom giants like China Mobile. But getting to the over 400 million mobile phone users with more advanced features might only be possible when the 3G mobile communication is in place.
Domestic comppetition is already very tough and most of the often very new players are still in the business of spending money, not making it. Whether they will enter that second phase very soon still remains to be seen.