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News Corp. is Thinking of Selling MySpace

MySpace has had a rough couple of years. Though it was once considered the leading social network, it has been trailing in the shadows of Facebook and Twitter for quite some time. Earlier this week the site announced the downsizing of its workforce. The move saw 47 percent of MySpace staff laid off. However, it seems News Corp. may have more than just fat-trimming on the cards for MySpace.

Word on the street says News Corp. is considering selling the social network it acquired for $580 million back in 2005. If not an outright sale, sources say the media conglomerate is at least contemplating spinning off the social network to form an independent company. CEO Mike Jones is said to have told employees of News Corp.’s plans during a staff meeting earlier this week, around the same time the company laid off 500 people. A spokesperson for the social networking site confirmed the rumors.

“News Corp. is assessing a number of possibilities including a sale, a merger and a spinout,” Rosabel Tao is quoted as saying. “The process has just started.”

MySpace recently underwent a redesign in what was largely  seen as an attempt to breathe new life into a dying brand. The new branding saw the site’s logo change from the well-known ‘MySpace’ lettering to ‘My_____.’