MySpace to pocket Photobucket for $250 million

New York (NY) - Following a contentious feud between the two web services, MySpace will reportedly acquire the photo sharing site Photobucket.

The straight cash buyout is in the area of $250 million, reports Reuters. Photobucket is the reigning market share leader of online photo storage.

Nearly 2.8 billion images are stored on Photobucket’s servers, with 41 million registered users. About 60% of the site’s traffic is attributed to people viewing images on MySpace.

Last month, MySpace temporarily banned users from uploading Photobucket images because of a dispute with the site’s terms of service.

MySpace has also been in talks this year to strike partnerships with Ebay and Amazon.com.