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Old 07-25-2006, 11:22 PM   #1 (permalink)
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Is myspace making billions?

Is myspace making billions?

Myspace gets 30 million page views month and some say myspace charge $0.10 cpm.

Lets go with a low number and say they charge $0.01 cpm.

30,000,000,000 (page views) x $0.01 (cpm) = $300,000,000 (per month)
$300,000,000 x 12 (months) = $3,600,000,000 (year)

So is myspace making $3.6 billion a year?
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Old 07-25-2006, 11:28 PM   #2 (permalink)
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If those assumptions are true, it would make $3.6 million a year. Your math is wrong.

You have to divide the number of pageviews by one thousand and then multiply the pageviews by the CPM price.

CPM = cost per thousand

Last edited by Antdizzle : 07-25-2006 at 11:37 PM.
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Old 07-25-2006, 11:29 PM   #3 (permalink)
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lets just assume that is true, then that is not profit, that is just turnover

You need to include their expenditure which would be massive as well assume their servers are all pretty beefy
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Old 07-26-2006, 01:49 AM   #4 (permalink)
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"30,000,000,000 (page views)"

is 30 BILLION, not 30 million.
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Old 07-26-2006, 03:06 AM   #5 (permalink)
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Quote:
Originally Posted by Antdizzle
If those assumptions are true, it would make $3.6 million a year. Your math is wrong.

You have to divide the number of pageviews by one thousand and then multiply the pageviews by the CPM price.

CPM = cost per thousand
Okay, some people say they charge $0.10 each, so that's $100 for one thousand. Lets go with a lower number and say they charge $0.01 each, so that's $10 for thousand.

So are they making $3.6 billion a year?
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Old 07-26-2006, 03:49 AM   #6 (permalink)
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I doubt they are making 3.6 billion a year. I might even go as far as to say that 3.6 million is over pricing it.
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Old 07-26-2006, 04:09 AM   #7 (permalink)
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Company revenues not profits are estimated to be around $200 million according to a recent article in the NY Times. You can read the article here . This article is dated April 2006.
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Old 07-26-2006, 04:55 AM   #8 (permalink)
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$200M sounds about right...
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Old 07-26-2006, 12:01 PM   #9 (permalink)
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See this article about social networking ad revenue

http://www.marketingvox.com/archives..._in_2010/?rss1
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Old 07-26-2006, 12:24 PM   #10 (permalink)
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Quote:
Originally Posted by NVTimports
Okay, some people say they charge $0.10 each, so that's $100 for one thousand. Lets go with a lower number and say they charge $0.01 each, so that's $10 for thousand.

So are they making $3.6 billion a year?
Lets say they charged $0.10 CPM. That means you pay $0.10 for every 1000 page views. So $36 million a year by those assumptions which are probably incorrect.

No one in their right mind would pay $100 CPM or even $10 CPM for advertising on Myspace.
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Old 09-27-2006, 10:07 AM   #11 (permalink)
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Quote:
Originally Posted by Morpheus
"30,000,000,000 (page views)"

is 30 BILLION, not 30 million.
30,000,000,000 / 1,000 * 0.10 = $3,000,000 (three million)
now is that 30 billion a day, week, month?
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Old 09-27-2006, 10:10 AM   #12 (permalink)
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