Closing another chapter on one of the Internet’s most iconic properties, Myspace has been sold to to Specific Media, an advertising network, for $35 million.

Sources close to the situation said the deal is being completed today, although it has not been officially signed. Myspace’s owner, News Corp., will hold on to a very small stake of less than five percent.

[UPDATE: It's official; see the press release and memo to Myspace employees from outgoing CEO Mike Jones below.]

AllThingsD broke news of Specific’s interest in Myspace yesterday.

The price is well below the $100 million that News Corp. had been hoping for, and a chasm away from Myspace’s one-time billion valuation.

The deal includes a halving of Myspace’s staff of 400, as well as other cost cuts. It’s likely Jones and other top staff will remain only for an interim period.

News Corp. bought Myspace for $580 million in 2005, and made that back via a lucrative advertising deal with Google when the social networking site was flying high.

But that was another time — the media giant has been trying to sell the site before the end of its fiscal year, which falls on Thursday, in order to get it off the books.

There were several other bidders in the process, including separate efforts by the two co-founders of Myspace, Chris DeWolfe and Tom Anderson.

More recently, the preferred acquirer was a group that included Activision CEO Bobby Kotick, but it fell apart over a number of issues.

This week, it came down to Specific and also a private equity firm, Golden Gate Capital.

According to a report yesterday in The Wall Street Journal:

Founded in 1999 by Tim Vanderhook and his brothers Chris and Russell, Specific Media helps marketers buy digital ads across the Web, online video, mobile and even the TV. The Irvine, Calif., company got its start brokering ad space for websites and quickly moved into the fast-growing business of collecting and using Web browsing, demographic, geographic and other profile information about consumers to target ads. The company now ranks among the largest online advertising networks in the country, reaching 170.9 million unique U.S. visitors in May, or about 79% of the U.S. Internet users, according to comScore Inc.

A Myspace deal would give the company access to data about Myspace users to be used for ad targeting. It also would transform the firm into a media company with its own ad space to sell instead of simply an online ad technology firm that brokers ad space on behalf of other websites.

Specific Media’s executive team includes knowledge of the inner-workings at Myspace, with two executives who previously worked at Fox Audience Network, News Corp.’s online advertising unit that sold ads for Myspace.

Specific Media has raised more than $110 million in funding, closing a $100 million round of financing from private-equity firm Francisco Partners in 2007. Since then, the company has acquired a couple of digital advertising companies, including online video company Broadband Enterprises and an Amsterdam ad technology company.

Here is the official press release and the memo to Myspace staff from Jones:

From: Mike Jones
Sent: Wednesday, June 29, 2011 11:26 AM
To: Myspace All
Subject: IMPORTANT COMPANY NEWS
Importance: High

Myspacers,

Today, we are announcing that Myspace will be acquired by Specific Media, one of the world’s leading online media and advertising platforms. Over the next few days you will be hearing from the team at Specific, including their CEO, Tim Vanderhook, regarding their exciting plans for Myspace and how it fits in with the overall vision of their company.

In conjunction with the deal, we are conducting a series of restructuring initiatives, including a significant reduction in our workforce. I will assist Specific with the transition over the next two months before departing my role as Myspace CEO.

I wanted to take a minute to thank you all for the incredible experience it has been to lead this company and to work closely with all of you over the past several years. While I regret we won’t be working together at Myspace any longer, I am very proud of the work we have done here and believe we have performed with excellence — even under extremely difficult circumstances.

My time here at Myspace represents the most engaging and challenging time of my professional career. I have found our team to be comprised of the best people I have come across in our industry.

You can read the press release below. Once again, thank you for all of your hard work and dedication.

Thanks,

-M

SPECIFIC MEDIA ACQUIRES MYSPACE FROM NEWS CORPORATION

Los Angeles, Calif. — June 29, 2011 — Specific Media, a digital media company, today announced it has acquired Myspace from News Corporation. As part of the agreement, News Corporation will take a minority equity stake in Specific Media. Additional terms of the agreement are confidential and will not be disclosed.

“Myspace is a recognized leader that has pioneered the social media space. The company has transformed the ways in which audiences discover, consume and engage with content online,” said Tim Vanderhook, Specific Media CEO. “There are many synergies between our companies as we are both focused on enhancing digital media experiences by fueling connections with relevance and interest. We look forward to combining our platforms to drive the next generation of digital innovation.”

Specific Media is an innovative global interactive media company that enables advertisers to connect with consumers in meaningful, impactful and relevant ways. Founded in 1999 by brothers Tim, Chris and Russell Vanderhook, Specific Media is currently headquartered in Irvine, CA and operates offices around the world.

(Full disclosure: News Corp. owns Dow Jones, which owns this site.)

BoomTown was sitting front row center–better to scare Google Mobile Product Manager Hugo Barra–at the Silicon Valley search giant’s press event in San Francisco this morning.

Google (GOOG) called together a group of reporters to discuss some “cool new features” for its Android operating system.

While many have been expectantly waiting for Google to announce a video-calling offering, to match the Apple (AAPL) FaceTime service, that was not to be here.

Instead, it was a low-key rollout of a few whiz-bang features to ooh and ahh at.

Happily, Google provided unusually delicious donuts, which was my entire reason for coming, because donuts are the pastry to the gods.

Let’s get to it:

10:05 am PT: PR dude Mike Nelson introed Barra, who said there will be two new features announced.

Ooh and Ahh.

First though, we were forced to endure yet another lecture on how important mobile is and where the future is headed that comes from every single company that throws a mobile event.

Mobile is the big show now?

Really? We had no idea this cell phone thing was going to take off! Thanks, Professor Barra!

Barra pressed on with lots of talk about MIPS (millions of instructions per second, which you should care less about, but is important).

Barra said that innovative smartphones were becoming “super-computers in your pocket.”

Again, master of the obvious!

I obviously needed to have a bite of my lovely sprinkle-laden donut to gain some balance.

10:12 am: Barra moved onto voice recognition. He asked the phone movie times in Palo Alto, Calif. and how high the Empire State Building, results which were promptly delivered.

(When my kid asked me on a trip to New York, I just said it was a badillion feet high, which also worked as an answer.)

But such technology is cool, for sure.

But Barra upped the ante by speaking four languages–Spanish, French, Italian and Japanese–to get results. It worked! Get this guy on “The Amazing Race” pronto!

Now, tricks over, it was onto the first product announcement!

And, drum roll…it was a new feature that Google is a calling “Voice Actions” in Voice Search, available today for Android 2.2 Froyo devices.

This sounded like a band name from the 1980s.

Instead, it is the ability to speak into the phone and have it instantly do things, such as sending text messages, automatic dialing and mapping and more, all via speech commands in English.

Speech recognition, natural language processing and semantic Web search–you could kind of do this before on Android, but it was neither seamless nor automatic, said Barra.

He did not say, but Voice Actions is an awful lot like Siri, the mobile app assistant start-up that Apple bought recently.

But there were more on Voice Actions, according to the adorkable demo dude Mike LeBeau, a baker’s dozen (13!) of actions, and there will be more.

He spoke into the phone a request to “Listen to the Decembrists.” Presto (and also props for the hip musical choice)!

Then, LeBeau spoke an email about some scuba diving trip. Presto!

But then he added a smiley face! Unfortunate and decidedly unhip, but presto!

After that, LeBeau kept showing off, setting the alarm clock, going to Wikipedia, doing a search for art galleries in Amsterdam.

10:28 am: Now for product announcement #2.

Barra brought up engineering manager Dave Burke, who built it in his 20 percent time.

It’s a synching feature called “Chrome to Phone.”

This sounded like a 1990s band name.

“It is a low latency way to push information to the phone,” said Burke, using Google’s browser and an app for the mobile device.

There is a little icon on the Chrome browser you click that sends a variety of stuff to the app on an Android phone.

It’s certainly helpful.

10:35 am: Onto Q&A about the two perfectly fine, though hardly earth-shaking, announcements.

Questions about the languages, bookmarking Chrome to Phone (not yet) and what’s coming next.

More!

It was all about solving “pain points” said the Voice Actions dude LeBeau.

All I know is donuts are the only thing that solves my pain points. Presto!

(And here is a post of some videos and screenshots of both Voice Actions and Chrome to Phone to enjoy.)

Last week, the only known filmed images of doomed teenage diarist Anne Frank were posted online.

The short film, from 1941, is part of a whole channel the Anne Frank Museum in Amsterdam launched on YouTube last week.

The clip of the inspiring Frank has had close to 1.7 million views so far.

Frank, of course, became a heroine worldwide after her death, following publication of her eloquent diary chronicling the years she and her family spent hiding from the Nazis during World War II.

In the 20-second video below, filmed before any of that happened, Frank appears for about nine seconds, peeking from a balcony at a newlywed couple below her.

A year after the film was taken, Frank and her family were living in fear of Nazi persecution, hidden in the attic space above the family business.

She and the others there were later discovered and taken to concentration camps, where she died in 1945, just before the war ended.

The Anne Frank Museum is now located in the building where she hid and wrote the diary–which, as anyone who has gone there can tell you, is a wonderful memorial to her and the many victims of the Nazi regime.

Here’s the video of Frank, and there is much more worth checking out on the channel on YouTube, which is owned by Google (GOOG):

Here’s the second of two videos I did while in Amsterdam for the PICNIC conference last week.

The first video from PICNIC is here.

More biking along the lovely canals of this Dutch city, along with even more odd digital stuff at the conference, as well as appearances by Liberty Global’s Mike Fries, Nike TechLab’s Michael Tchao and former Microsoftie Linda Stone.

Here’s the video:

Here’s the first of two videos I have done while in Amsterdam for the PICNIC conference, which has been taking place in the picturesque Netherlands city for the past few days.

In it, BoomTown bikes along the canals to the interesting event, which is being held until the end of today at the Westergasfabriek, a renovated facility that was formerly a gas factory.

And I found out quickly that the digital Dutch are very different from the geeks in Silicon Valley–with birds, unusual art installations and more, which they mix extravagantly and very creatively with Web technologies.

At the end of the video is a snippet of a speech at PICNIC by Amsterdam Mayor Job Cohen and an interview I did with PICNIC’s Program Director Monique van Dusseldorp.

Here’s the video:

BoomTown is now right next to a canal–no falling cows in sight!–in Amsterdam, here for an unusual digital conference called PICNIC, which starts Wednesday and runs through Friday.

With sessions like “We Think: The Power of Mass Creativity,” “The Emerging Real-Time Social Web” and “The Future of Business Creation,” it seems to be a place for big, messy Web ideas.

Speakers from the U.S. include former Microsoftie Linda Stone, Amazon CTO Werner Vogels and Internet thinker and author Clay Shirky.

For PICNIC’s conference onstage, I will be interviewing Liberty Global CEO Mike Fries on the future of television, and the CEO of Vodaphone Netherlands, Guy Laurence, on the future of mobile.

But I am a little worried, after seeing this promo video for the conference, that it is a little too brainy for me (Warning to those who don’t like seeing heads exploding in a bloody mess!):

Actually, although BoomTown is staying right around the corner from Buckingham Palace in Mayfair, I am in London on my way to the PICNIC conference in Amsterdam later this week, where I will be interviewing some digital leaders onstage.

We’re still working on rolling out a version of our D: All Things Digital conference in Europe next fall, so it’s important to get a sense of what is going on here in the digital sector and, of course, what is not.

I was here in summer 2007 and also last fall. This trip, I am slated to visit Mike Volpi of Joost to talk about what’s going on at that much-hyped online video site, which is in the midst of rejiggering itself after a rocky start.

I will also be paying a call on the fine folks over at the Guardian, including its PDA digital content blogger Jemima Kiss.

The Guardian Media Group, the newspaper’s parent company, is doing some really fast-forward things in the digital arena, including the recent purchase of the paidContent new media news site.

And tomorrow, I will be having yet another grilled kipper breakfast at the very tony Wolseley restaurant with Index Ventures’ Danny Rimer to talk about the start-up market here.

Videos, of course, to come.