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from Reuters Investigates:

The end of an era for British tabloids?

No sooner had our special report today on British tabloids hit the wire than Rupert Murdoch's News Corp shocked everybody by announcing it would close down the 168-year-old News of the World.

Steven Barnett, professor of communications at London's Westminster University, spoke for a lot of people when he said of the news: "Astonishing. I'm completely gobsmacked. Talk about a nuclear option."

The big question now is what happens to Rebekah Brooks, a close confidant of Rupert Murdoch and a friend of Prime Minister David Cameron. Her editorship of the News of the World a decade ago is at the heart of some of the gravest accusations about phone-hacking at the paper.

Our story by Mark Hosenball and Kate Holton asks what makes British tabloids tick -- and what makes them different from newspapers in other countries.

from MediaFile:

Tech wrap: Facebook zooms into video age

Starting today, Facebook users will have the option of holding one-on-one video calls with their friends directly from their account on the social network. The new Skype-powered video service marks a renewed effort by Facebook to cement itself as the go-to communications hub on the Web and serves as a response to Google's recently launched Hangouts app, a similar video chatting feature that lets users on its Google+ social network chat with up to 10 people at once.

Facebook's video chat will be embedded directly into the site's messaging platform and won't require users to sign up for Skype separately to use it. Skype stands to see a big boost from the partnership seeing as it could open it up to a whole new set of users.  So how does Facebook's video chat compare to Google's? TechCrunch finds there's little overlap at this point between the two services, arguing the former is well-designed for one-on-one pow-wows whereas the latter is better suited to group chats. In addition, Facebook unveiled a new group-messaging feature that lets users take part in text chats with multiple friends.

from MediaFile:

Tech wrap: And Myspace goes to . . .

News Corp’s hunt to find a buyer for once-mighty social networking website Myspace has finally ended. Specific Media, an online advertising firm, has agreed to buy the site for about $35 million, a source familiar with the deal told Reuters. News Corp will retain a minority 5 percent stake in the website it purchased six years ago for $580 million. More than half of the site’s 500 employees are expected to be laid off as part of the deal.

Tech watchers will have to wait at least another sleep to find out more about Zynga’s plans for an initial public offering. A source familiar with the matter told Reuters that the online social gaming firm behind popular Facebook game FarmVille is expected to file for an initial public offering with U.S. regulators on Thursday morning. Earlier reports suggested the company could raise up to $2 billion in the offering and value the firm as high as $20 billion. AllThingsD’s Kara Swisher sizes up how Zynga’s expected IPO fits in with other recent filings from similar companies such as Groupon.

from MediaFile:

Tech wrap: Myspace sale saga nears end

An investor group involving Activision Blizzard CEO Bobby Kotick is in final talks to take a controlling stake in News Corp's social network site Myspace, according to a source familiar with the matter. Kotick's involvement is personal and nothing to do with Activision at this stage, the source said.

News Corp, which paid $580 million for Myspace in 2005, had hoped to do a deal valuing Myspace at about $100 million, but sources said it was unlikely to achieve that target.

from MediaFile:

Rupert Murdoch shakes up empire….kinda

Rupert Murdoch didn't open the D9 conference this year as he's wont to do. So, his alter ego did.

Jane Lynch -- the acerbic, sarcastic and domineering Cheerios coach of Fox's "Glee" -- stood in for the News Corp chieftain in a brief stand-up spiel for the 600 attendees at the tech industry conference.

from DealZone:

Deals wrap: J&J’s $21.6 billion orthopedic buy

A general view shows Swiss medical devices maker Synthes' headquarters in Oberdorf, April 25, 2011. Reuters/Christian Hartmann

Johnson & Johnson is to buy Swiss medical devices maker Synthes for $21.6 billion in its largest ever buy, giving J&J a leading position in equipment to treat trauma. Synthes, which posted sales of $3.7 billion in 2010, makes nails, screws and plates to fix broken bones, as well as artificial spine discs. "It is surprising the deal has been struck between cash and shares. The market consensus, and our view, was it would be all cash, so the quality of the take-out is slightly lower than we anticipated," said Morgan Stanley analyst Michael Jungling.

from DealZone:

Deals wrap: AES powers up in U.S. midwest

An electric tower is shown in this file photo. REUTERS/Francesco SpotornoMore consolidation is on the way in the power industry as global power provider AES is buying smaller Ohio-based rival DPL for $3.5 billion. The acquisition will help the company beef up its regulated power business that tends to provide steady returns even during tough market conditions.

Just days after posting a sharp drop in first-quarter profit, Bank of America said it plans to spin off its last large private equity unit, BAML Capital Partners, which has more than $5 billion in assets. It’s the latest in a series of moves the bank has undertaken to comply with new U.S. regulations that limit how much of their own capital banks are allowed to invest.

from MediaFile:

Tencent, De Wolfe among interested buyers for Myspace

De Wolfe and Murdoch in happier times (Photo: Reuters)

De Wolfe and Murdoch in happier times (Photo: Reuters)

Chinese Internet holding company Tencent, Myspace founder Chris De Wolfe and Myspace's current management team are among the 20 odd names kicking the tires at the once might social network to see whether it's worth buying outright or partnering in some sort of spin-out with current owner News Corp.

Tencent has previously said it is interested in possible US acquisitions.

The names come up in Reuters' Special Report on 'How News Corp got lost in Myspace',  a behind the scenes tale on how the focused Facebook beat the partying Myspace. (We have the story in a handy PDF format here)

from MediaFile:

Tech wrap: Amazon’s storm cloud

People sit in Washington Square Park at New York University in New York, October 21, 2009.Amazon.com faced a backlash from the music industry after it introduced Cloud Drive, an online "music locker" that lets customers store music files on the company's Web servers instead of their own hard drives and play them over an Internet connection directly from browsers and on phones running Google’s Android OS. Sony Music was upset by Amazon's decision to launch the service without new licenses for music streaming.

Amazon's Cloud Drive "is an amazing value and pretty easy to use", but won’t kill rival Dropbox just yet, Business Insider’s Steve Kooch wrote. The Wall Street Journal’s Peter Kafka thinks Amazon’s cloud move isn’t earth shattering and "if you’re a music lover looking for a paradigm shift in the way you consume tunes, this won’t be it".

from MediaFile:

Tech wrap: Netflix gets in the game

Netflix CEO Reed Hastings speaks during the unveiling of the iPhone 4 by Apple CEO Steve Jobs at the Apple Worldwide Developers Conference in San Francisco, California June 7, 2010. REUTERS/Robert GalbraithOnline video and DVD rental service Netflix is breaking away from its traditional role as a licensor of movies and TV shows , negotiating with actor Kevin Spacey and director David Fincher for the exclusive rights to a two-season, 26-episode remake of British political drama “House of Cards”, a source said.

Media execs who say they haven’t seen evidence of cable or satellite television subscribers canceling because of TV shows and movies available online may not want to break out the champagne, writes Paul Thomasch. The best devices to help cut your household’s dependence on pay TV are an ATSC tuner, digital media receivers Boxee Box and Roku XDR, digital video recorder Tivo Premiere, and small desktop computers Dell Zino and Apple Mac Mini, according to TechCrunch’s Matt Burns.

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