MySpace is reportedly about to lay off more than half of its employees as the former social networking market leader scales back its ambitions.
According to Dow Jones Newswires, the layoffs are tipped to involve around 500 people (of the site’s current staff of 1000).
The business hopes to continue its major strategic overhaul in a last-ditch attempt to stave off its dismal financial position.
However the move could also signal News Corporation’s termination of its ownership of the site.
In October 2010, the site announced a redesign that nearly abandoned the format of friend pages and wall posts. The new MySpace is focused on actively discovering new music and videos, PC World said.
In November last year, MySpace announced a feature that delivered entertainment recommendations based on a user’s Facebook profile information.