LiveUniverse, the network of web sites founded by MySpace founder Brad Greenspan, has acquired Benchmark Capital-based home page maker PageFlakes, the companies said Friday.
The deal follows LiveUniverse's acquisition in February of video site Revver, backed by Draper Fisher Jurvetson, Bessemer Venture Partners, and Comcast Ventures, in February.
Terms of the cash-and-stock deal for PageFlakes were not disclosed. The site, which uses asynchronous javascript and XML, or Ajax programming, had been struggling in its competition against sites like Netvibes as well as home pages from Yahoo, Microsoft and Google. Among its features, Pageflakes allows users to share their pages—which can include news, e-mail, photos and video--as a Pagecast.
LiveUniverse, based in Hollywood, California, said it would provide "several million dollars of online promotion" for its more than 35 web properties, which include music site lyricsdownload.com and widget locator blinkyou.com. LiveUniverse plans to introduce Pageflakes' drag-and-drop Web technology as a way to let users of its LiveVideo social networking video site to personalize and share their pages.
Rupert Murdoch's News Corp. bought MySpace parent Intermix for $580 million cash in 2005 despite the protests of Mr. Greenspan, who was by then the company's former chief executive. After being outmaneuvered in that deal, Mr. Greenspan spearheaded a dark-horse alternative proposal in 2007 designed to thwart Mr. Murdoch's $5.6 billion offer to acquire Dow Jones, the parent of The Wall Street Journal. After equivocating for several months, Dow Jones shareholders ultimately agreed to sell to News Corp.
Pageflakes, founded in Germany, will continue to be based in San Francisco and led by Chief Executive Dan Cohen, who will become senior vice president of LiveUniverse.
Backers of Pageflakes rival Netvibes include Accel Partners. Revver had raised venture funding from Draper Fisher Jurvetson, Bessemer Venture Partners and Comcast.