For MySpace, Making Friends Was Easy. Big Profit Is Tougher. - New York Times

For MySpace, Making Friends Was Easy. Big Profit Is Tougher. - New York Times:

MySpace, in the NYT - an excellent summary of the current situation... How do you monetize with out pissing off the members? With a new social networking site launching almost every day, this is not an idle question. Friendster bought it by pissing off its core group of hard core users.

"FOR now, MySpace is charging bargain-basement rates to attract enough advertisers for the nearly one billion pages it displays each day. The company will have revenue of about $200 million this year, estimated Richard Greenfield of Pali Capital, a brokerage firm in New York. That is less than one-twentieth of Yahoo's revenue."