MySpace Cuts Workforce in Half

MySpace Cuts Workforce in Half
One-time social networking giantMySpace announced today (January 11) that it's preparing a monstrous round of layoffs that will cut loose nearly half (47 percent) of its workforce. See what happens when you abandon your profiles, everybody?

Digital Media Wire confirms that the company will in fact lay off 500 employees as it reorganizes its business strategy.

"The new organizational structure will enable us to move more nimbly, develop products more quickly, and attain more flexibility on the financial side," MySpace CEO Mike Jones said in a statement. "We are also committed to rebuilding the company with an entrepreneurial culture and an emphasis on technical innovation."

The announcement comes just a couple of months after the site rebranded itself as an entertainment hub. Having since been surpassed by Facebook as the top social networking site, last October's facelift primed MySpace as the top spot to find out about new bands and not, apparently, a place to just connect with friends.

"These changes were purely driven by issues related to our legacy business, and in no way reflect the performance of the new product," Jones said. He also noted that MySpace has added 3.3 million new user profiles since October, and seen an increase in mobile usage.

Despite some positive numbers, Newscorp, who bought MySpace in 2005 for $580 million, announced last November that it is looking into its options, including the sale of the company.

So come on, guys, help MySpace out. If not to keep in touch with those people you didn't approve on Facebook, than do it for Tom Anderson, the founder of MySpace. You know, your mandatory first friend on the service? Remember Tom? Anybody?