So you may or may not have heard that MySpace stopped Photobucket from being able to embed its video into MySpace accounts. It was hailed as yet another way for Rupert to flex his MySpace muscle, and I was one of a few bloggers wondering whether this wasn’t just an elaborate sabre rattling manoever to get Photobucket to start paying its way into MySpace’s walled garden.

Seems like I may have been right.

Photobucket and MySpace are now fast friends, as detailed on the Photobucket blog, where a nice, but the vague post intimates that all is well, and they’ve sorted out their differences. I wonder if it was over a glass of milk and cookies. Anyway, as Valleywag reports, the juiciest details haven’t yet been revealed, such as what the terms of the agreement was.

• Is Photobucket indeed paying for the privilege of having its plugin being available to MySpace?
• Will we see other plugin users shut off while private “negotiations” take place?
• Perhaps they’ve reached an understanding that Photobucket is to never, under any circumstances, to participate in marketing strategies that involves plugins / mashups — unless MySpace gets a healthy cut?

What’s also of some passing interest is that the original post on the Photobucket blog, decrying MySpace’s pulling the plug on Photobucket’s imbeded videos — you know, the one advocating Photobucket users vote with their feet and consider leaving MySpace?

That original post is gone. It should have been in and around April 12

[correction! It exists over here, and clearly isn't deleted, but not simply not available by going to the blog's url]

A bit of a blogging faux-pas, as I understand it, as there’s now no ongoing record of the events that have transpired. From Photobucket’s point of view, they never got upset at the original point of contention (which was a big issue), and neither did they ask their users to consider moving their social networking habits.

Oh well.

Perhaps obviating history was part of Rupert’s agreement anyway. ;)