The biggest frenemies together: Eric Schmidt, CEO of Google (NSDQ: GOOG) & Maurice Levy of Publicis, one of the largest ad holding companies:

We’ll have the full video of Schmidt’s speech and Q&A from here, later this afternoon. Meanwhile if you want to check out bits from his speech, chk out our Twitter feed at @paidcontent.

By Jane Martinson: Jonathan Miller, head of digital media at News Corporation (NYSE: NWS), said today that “dual revenue streams” are likely to co-exist as media organisations try ways of making money online.

Miller claimed the media industry had to return to charging, whether through subscription or some other method. “The choice between paywall or free is not mutually exclusive. They can co-exist based on quality of content and geography,” he sai.

In 2008, Terra Firma hired the guy who ran the company which makes Cillit Bang and Air Wick to turn EMI Music around. But now the record label finds itself seeking a reported £100 million to avoid breaching banking covenants.

So now executive chairman Elio Leoni-Sceti is on his way out; he’s being replaced by Charles Allen, the former CEO of the UK’s top commercial broadcaster ITV (LSE: ITV), on March 31. Allen has chaired the board since January 2009.

MySpace (NYSE: NWS) pulled up the curtain a little this week, letting in some light on a makeover still very much in progress and marking a debut of sorts for Co-Presidents Mike Jones and Jason Hirschhorn as a team. By walking reporters through their road map, the two hope to move the story from “oh woe is MySpace” to “look at MySpace go.” It isn’t going to be easy and it isn’t going to be fast. MySpace’s problems were legendary before Jones and Hirschhorn arrived last year as part of a turn-around triumvirate—and even more so with the hasty departure of Owen Van Natta, giving the social network the dubious distinction of losing two CEOs in less than a year. 

We spoke at length by phone Tuesday. One image to shed: the notion of MySpace as entertainment portal, something Hirschhorn says was poorly communicated by the company. Instead, think of MySpace as a social entertainment experience. “There are other sites on the internet that are big and don’t have permission to be social,” he explains. More from our conversation below:

Like many other developers, uLocate works closely with ad networks to monetize WHERE, its free mobile app that is available on a number of carrier networks and Android, iPhone and Palm (NSDQ: PALM).

But WHERE often struggled to keep its fill rates high, and when campaigns ran out, it had to use less desirable banner ads pushing ringtones and wallpapers, said uLocate’s VP of Marketing Dan Gilmartin. Today, the Boston-based company is launching an ad network that it created internally to remedy the problem and has been using since December. The ad network, which it calls the WHERE Ads hyper-local advertising network, is now available outside the company, and is being used by various publishers, including Geocade, Jambase, MocoSpace and Superpages.com.

Barring a last-minute fix or change of strategy, at midnight Tuesday Hulu.com will switch from a co-host for online video of the Daily Show with Jon Stewart and The Colbert Report to a referral engine for the popular shows. Viacom (NYSE: VIA) execs like to call it a test but after 21 months it’s become a habit for those who relied on Hulu for one-stop viewing.

Viacom CEO Philippe Dauman told investors at a Credit Suisse conference the 21-month stint was a test and this doesn’t have to be a permanent separation. “In the current economic model, there is not that much in it for us to continue at this time,” Dauman said, according to Multichannel News. “If they can get to the point where the monetization model is better, then we may go back.”

Nine months since relaunching its search engine, Bing’s market share continues to inch up. It’s now at 11.5 percent, up from 8 percent prior to its remake, according to the latest comScore (NSDQ: SCOR) figures (via Business Insider). We’ve made a point of checking in each quarter, rather than monthly, in order to avoid anamolies, and the trend has stayed remarkably the same.

News aggregator Daylife will begin reselling pictures posted by users of London-based citizen-photo journalism site Demotix to create an “open image wire service.” The arrangement is an expansion of Daylife’s existing image programs. Last fall, Daylife began partnering with Getty Images—which is also an investor in Daylife—on products that lets users insert imagery on their websites. In an e-mail exchange with paidContent, Daylife CEO Upendra Shardanand said the arrangement with Demotix is a bit different from the one with Getty, which handles professional photographers.

Newspapers have blamed Google (NSDQ: GOOG) for their woes, and Google, in turn, has helped remind newspapers that they did a pretty good job of digging their own grave. The latest Googler to weigh in on the business is Chief Economist Hal Varian, in a speech to the FTC today. Below, the big takeaways from Varian’s remarks, which are drawn from a longer post, plus slideshow, on Google’s Public Policy Blog. Spoiler alert: If you had hopes for a print rebound, stop reading now. 

Celebrity gossip site TMZ has quietly unveiled a gentler fashion-oriented offshoot called Too Fab. Although TMZ maintains high traffic—February uniques were up 6 percent to 14 million, per comScore (NSDQ: SCOR)—and gained new credibility by breaking the news of Michael Jackson’s death last year, many advertisers remain uncomfortable with the main site’s daily diet of in-you-face Hollywood crime and debauchery. But its advertisers tend to be Google-served ads and smaller businesses.

So where the main TMZ site features news of the David Letterman stalker’s guilty plea or an item about Gary Coleman having a seizure, Too Fab tackles safer stories—about Russell Brand’s $315 sunglasses, for example, and Conan O’Brien offering to foot the bill for a Twitter follower’s wedding.

The Financial Times has a sizeable and nicely growing subscription business—so why mess with micropayments? FT.com Managing Director Rob Grimshaw says that half the FT’s print customers are newsstand buyers, and the company needs to offer an similar a la carte option online as well. Grimshaw, in an interview with ContentNext Media Managing Editor Ernie Sander, also explores about what the company has learned about its readers from its “data warehouse,” and how it has used that information to help convert some of those readers into customers.

Two other panelists at paidContent2010’s The Business of Digital News session, KC Estenson, CNN.com’s SVP and GM, and Lincoln Millstein, Hearst’s SVP of digital media, talked about the opportunities that apps and e-devices present for publishers looking for new revenue streams. Josh Cohen, Google’s senior business product manager, meanwhile, explains why news organizations that blame on Google (NSDQ: GOOG) are shooting the messenger. See highlights of the panel below.

Full uncut session