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Myspace quickly gained popularity among teenage and young adult social groups.
In February 2005, De Wolfe held talks with Mark Zuckerberg over acquiring Facebook but De Wolfe rejected Zuckerberg's million asking price.
Myspace President Tom Anderson stepped down while Chris De Wolfe was replaced as Myspace CEO by former Facebook COO Owen Van Natta. meeting in March 2009 over the direction of Myspace was reportedly the catalyst for that management shakeup, with the Google search deal about to expire, the departure of key personnel (Myspace's COO, SVP of engineering, and SVP of strategy) to form a startup.
Furthermore, the opening of extravagant new offices around the world was questioned, as rival Facebook did not have similarly expensive expansion plans yet it still attracted international users at a rapid rate.
That deal required Myspace to place even more ads on its already heavily advertised space, which made the site slow, more difficult to use, and less flexible.
Myspace could not experiment with its own site without forfeiting revenue, while rival Facebook was rolling out a new clean site design.
Boyd compared the shift of white, middle-class kids from the "seedy" Myspace to the "supposedly safer haven" of Facebook, to the "white flight" from American cities; the perception of Myspace eventually drove advertisers away as well.
and move it to the head of the pack of social networking websites.
While Facebook focused on creating a platform that allowed outside developers to build new applications, Myspace built everything in-house.
Shawn Gold, Myspace's former head of marketing and content, said "Myspace went too wide and not deep enough in its product development.
Open Social was to promote a common set of standards for software developers to write programs for social networks. Google had been unsuccessful in building its own social networking site Orkut in the U. market and was using the alliance to present a counterweight to Facebook.
By late 2007 and into 2008, Myspace was considered the leading social networking site, and consistently beat out main competitor Facebook in traffic.The volatility of social networks was exemplified in 2006 when Connecticut Attorney General Richard Blumenthal launched an investigation into children's exposure to pornography on Myspace; the resulting media frenzy and Myspace's inability to build an effective spam filter gave the site a reputation as a "vortex of perversion".