Massive Layoffs MySpace - 50 Percent Workforce Cut
By: Susan Harris
Published: Jan 4, 2021
Massive Layoffs MySpace - 50 percent workforce cut. MySpace is getting ready for massive layoffs as the social network site struggles. It's a radical move to reduce overhead and prepare for a possible sale.
MySpace is expected to cut 50 percent of it 1,100 employees in mid-January, a person with knowledge of the matter confirmed. The reductions were first reported by the Wall Street Journal. The cuts are seen by some industry observers as necessary to restore the site to profitability and lure potential buyers.
The clock has been ticking for MySpace since October, when News Corp. Chief Operating Officer Chase Carey pronounced during an earnings call that the site's losses were not "acceptable or sustainable," and that a turnaround would need to be effected in months, not years.
More recently, Carey has been quoted as saying the media conglomerate was weighing its options for the website -- raising the possibility of a sale.
"There are opportunities here to do 20 things [with MySpace], but that doesn't mean you're going to do any of the 20. If there's something there that makes sense you ought to think about it," Carey said in late November.