CNET will shut down its online RSS reader, Newsburst, on December 31, 2007. An email went out to users and a notice has been displayed on the site (see below), along with instructions on exporting news feeds via OPML.

Few people will be affected – Compete.com says only 4,000 people visit the site monthly. It competes with Bloglines, Google Reader and scores of other competitors and clearly never got traction.

CNET looks to be making a number of strategic/corporate development moves to streamline the organization. In October the company secured a $250 million credit line, adding cash to their depleted balance sheet. They then sold photo site Webshots for $45 million. They seem to be hoarding cash and shutting down non-performing or non-core properties. Newsburst, at best, was a distraction. It enters the DeadPool.