MySpace considers outsourcing some of its technical infrastructure to Google but worries it could lose its competitive advantages over other social networks by doing so. Building more capabilities in-house would let MySpace customize features for its users, accept payments more easily from third-party apps, and potentially help it regain market share and expand profits by growing its user base.

1. MySpaceShamyra LeakTom SmallwoodTyshon TuckerAnthony Politi

2. What Makes MySpace DifferentComplete control in the users handProfile EntitiesSocial Networking FunctionalityMusic NetworkingMobilityVideo SharingInstant Messaging

3. Disadvantages From Outsourcing to GoogleLose Competitive AdvantageForfeiting Application ExclusivityCannot accept payments as easilyChange MySpace’s business processes

4. Positives of Building In-HouseEasier to receive payments from application providersBetter fit for MySpace’s specific requirementsDifferentiation

5. Future Growth PossibilitiesExpand profitsExpand user baseRegain much of once-had market share

6. In Conclusion…