Staci Kramer at PaidContent lays out the story of how Viacom apparently seriously considered buying Friendster, but backed away when it dug into Friendster’s business.

Says Staci: “I have been told by multiple sources that later Viacom was offered the chance to acquire Friendster for $5 million — less than the $11 million to $15 million we estimated last year so far had been invested in the company. The word Viacom got was that Friendster’s VCs no longer wanted to fund the company.”

The full post is here.