Is Myspace Finally Going to Admit Facebook Won? (Surrender Update: Yes)

Myspace and Facebook are going to make a joint announcement today — an unprecedented event in the history of these once-competitive rivals. 

The invitation, reported by Mashable’s Ben Parr, doesn’t say much: “Please join us for an invitation-only announcement by Mike Jones, CEO of Myspace, and Dan Rose, VP of Partnerships and Platform marketing, Facebook.”

Of course, the fact that the CEO of Myspace will be speaking alongside a Facebook VP speaks volumes. Just a few years ago, the two properties were neck and neck in terms of users and buzz.

Now Facebook is far and away the dominant social network, while Myspace is bleeding red ink and was recently put on notice by News Corp.

One possible announcement will be that Myspace is opening itself up to Facebook Connect (Update: Yep, that’s what happened.) or becoming a part of the Facebook platform, which would explain the presence of Dan Rose.

At this point, it would be a smart surrender. If Myspace hopes to turn itself around, it has to carve out a niche as the best destination for artists and their fans. And just like every other service or site on the web, it needs to integrate with Facebook’s social graph if it hopes to grow.

Update: Myspace CEO Mike Jones calls this integration a “Mashup” with Facebook. Uhm, yeah, actually it’s just the same Facebook Connect hundreds of thousands of other sites already use. From now on Myspace will be focused on entertainment, and Facebook will provide the social layer.  Is Myspace Finally Going to Admit Facebook Won? (Surrender Update: Yes)