New York — As expected, Rupert Murdoch’s social media flagship MySpace finally ended the hectic week announcing the appointment of former Facebook Inc. Chief Operating Officer “Owen Van Natta” to the role of MySpace Chief Executive Officer effective immediately, replacing co-founder Chris DeWolfe, in an attempt to revive the social-networking Web site.
Parent company News Corp., has been relentlessly attempting to revive MySpace as its revenue growth has slackened and as Facebook has surpassed MySpace in the number of worldwide users, on Friday issued the announcement confirming that:
“The 39 year-old Van Natta would be taking over the role of chief executive, effective immediately from MySpace co-founder Chris DeWolfe, 43, who is stepping down.
Van Natta, former chief operating officer at Facebook, will be based in Los Angeles and will report directly to Jonathan Miller, who earlier this month became News Corp’s CEO of Digital Media and Chief Digital Officer, the New York-based media company said today in a statement.
Van Natta exists Playlist.com after a brief stint as CEO, and formerly served as vice president of operations and chief revenue officer of rival social networking site Facebook. Van Natta was considered to be the instrumental player in negotiating the company’s $240 million advertising deal with Microsoft.
Earlier, Van Natta also served as Vice President of Worldwide Business and Corporate Development at online bookstore and retailer for Amazon.com. Most recently, he was the CEO of Playlist, Inc., an online music company.
The re-organization brings Van Natta, at the front of efforts to rejuvenate a company that popularized online social networking and is now playing catch-up to his former employer, Palo Alto, California-based Facebook. MySpace may lose revenue when a $900 million advertising contract with Google Inc. expires next year.
“They have had that as a very big cushion,” said David Bank, an analyst with RBC Capital Markets in New York. “When that deal expires there could be more volatility.”
The Google deal is likely to be renewed at less favorable terms for MySpace, said Bank, who rates News Corp. shares “outperform” and does not own it.
“Owen possesses a deep understanding of social networking, a keen business sense and the operational experience to guide MySpace through its next leve of growth,” Miller said in the statement.
Upon assuming the position, Van Natta will be tasked with leading a major turnaround for MySpace. Once considered to be the most popular social networking service on the web, MySpace has seen its growth decline in recent years as users have flocked to Facebook.
“I’m thrilled to have the opportunity to pilot MySpace in what is sure to be an incredibly exciting and rewarding next chapter for the business,” said Van Natta. “I feel honored to develop upon the immeasurable achievements of the MySpace founders and look forward to working with Jon and the MySpace team to meet the challenges and make the most of the opportunities before us.”
“I’m confident his leadership will be an invaluable asset,” said Miller. “I plan to work closely with Owen to shape our long-term vision around this vibrant community that already attracts more than 130 million users worldwide.”
Van Natta’s new boss, Miller, was hired April 1 to oversee digital businesses as part of a reorganization to prepare for the departure of News Corp. President Peter Chernin, the company’s second-in-command.
While serving as Vice President of Operations and Chief Revenue Officer for Facebook, Van Natta handled revenue operations, business development, strategic partnerships and technical operations. As Vice President of Worldwide Business and Corporate Development at Amazon.com, he managed global marketing programs and strategic partnerships. He was also part of the founding team of A9.com, the Amazon.com search company, and was responsible for site operations and sponsored-link advertising. Owen earned a B.A. from the University of California at Santa Cruz.
Van Natta, did not return a telephone call seeking comment. DeWolfe, who was swept aside as Murdoch shakes up News Corp’s digital operations and other parts of his company, was not available for comment, a MySpace spokeswoman said.