"Owned" Is what you are when you just got "bi#@h slapped" by your enemy. Normally used in conjunction with on line video games.
Say I'm playing Americas Army and my entire squad gets taken out just seconds after spawn by one guy with a nade. That is a state of ownage.
:)
Also, it's usually spelled "pwned", with the "p" symbolizing a tongue sticking out as well as standing for the "o." As a high school teacher, I have found 1337 sP33cH (That's "leet speech," i.e. "elite speech" for the uninitiated) to be a useful dialect to understand (along with thug-speech, too).
I r0xx0r joo! Fo sheezie, playa' playa'!