Myspace cuts back workforce
Myspace notified staff of the cuts on Tuesday, as parent company News Corp. considers ways to make the social networking site more popular again. A recent relaunch positioned Myspace as an entertainment destination, to build on its traditional strengths as a music focused site, and the company claims that this has led to increased sign-ups and also stronger mobile usage.
However, since News Corp bought Myspace for $580 million in 2005 it has been overtaken in recent years by the rapid growth in Facebook usage, which has grown to more than 500 million members while Myspace's numbers have dwindled.
Labels: social networks