eMarketer predicts that Facebook will finally overtake MySpace in terms of revenue in 2010. Is anyone surprised? No.
Facebook has thus far survived on investments and slow-growing revenues. However, eMarketer believes that Facebook will rake in around $605 million from ad revenue while MySpace will capture about $385 million. Honestly, for MySpace, which has been steadily losing users, revenues, and advertiser's faith, the expected revenue is not terrible.
Zuckerberg and crew have just surpassed the 350 million-user mark, as anyone with a Facebook account knows because Mark Zuckerberg wrote an open letter stating this fact while announcing a new privacy push which really does not seemed to have worked at all.
Facebook is expected to account for a quarter of the social media spending for the year, while last year they accounted for a fifth, gaining 5% for 2010. The total ad spending in social media is expected to be just over $2 billion, a 3.9% increase from 2009. Over half the money will be spent in the United States.
Social network spending increased to 5.4% share of the total online advertising market in 2009.
While Facebook has been breaking records steadily, MySpace has still hung around; however, there don't seem to be any definitive plans for MySpace. With Facebook failing on privacy issues as well as falling to DNS attacks, it would seem that Rupert Murdoch might want to still take a shot a bolstering MySpace. Thus far, both he and his number one guy, VanAtta, have been silent. Earlier in the year, there was some talk of turning MySpace into a music portal, but, well, nothing's been done.
This past year, despite all of the economic turmoil, was a growth year for Facebook and was also the same year the site surpassed 300 million and 350 million users; 2009 also was the first year that Facebook captured the top spot for social media sites and the fourth year in a row that they topped all of the other sites for the number one searched-for term among social media sites.
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