Posted by: Collabo
Category: MySpace, Social Networking
Tags: Facebook, Google, News Corp, Social Media
MySpace Terminates 400 Employees
An effort to restructure MySpace into a more innovative and entrepreneurial business results in News Corp cutting 30% of the social network’s staff this week, approximately 400 employees. MySpace has seen nothing but bad news lately, traffic has been dwindling and last month the platform was dethroned as the number one social media network in the U.S. by rival Facebook.
“Simply put, our staffing levels were bloated and hindered our ability to be an efficient and nimble team-oriented company,” said MySpace Chief Executive Officer Owen Van Natta. These layoffs have been attributed to Google’s decision to heavily downsize it’s $300 million per year advertising deal with MySpace. Sources suggest Google is looking for something closer to $50 million per year.
While many MySpace employees appear to be expendable as of late, including former CEO Chris DeWolfe, co-founder Tom Anderson remains on the roster, and still friends with everyone.
