Parent company News Corp is currently considering the issue of splitting or selling MySpace

According to foreign media reports, Maik Jones, a social networking site MySpace chief executive, said in a general staff meeting in Wednesday that the parent company News Corp was currently considering splitting or selling MySpace. MySpace announced in Tuesday that the site would lay off about 500 people, accounting for 47% of the total number of employees, and that layoffs would involve all business units in all areas of MySpace.

Rosabel Tao, a MySpace spokesman, said in Wednesday that Jones had officially announced the news at the Rosabel Tau staff meeting. "News Corp is evaluating how to dispose of MySpace, including selling outside, merging with other companies or splitting up," says Rosabel Tau. ”

The announcement was a sign that News Corp was unwilling to accept the continued loss of MySpace. MySpace officials said last October that MySpace's losses were close to $100 million trillion in the first half of June 30, 2010. After a redesign of MySpace and a focus on entertainment content, MySpace announced in Tuesday that it had laid off about 500 people, accounting for 47% of the total number of employees.

News Corp will plan to provide financial assistance to MySpace if a decision is made to split, the source said, and MySpace employees will qualify for the independent company's shares. Jones told employees that MySpace's discussions with News Corp were still at an early stage. News Corp hopes to introduce more partners to help MySpace relocate. Jack Kennedy, News Corp's vice president for digital Media group operations, has been appointed to contact potential MySpace buyers, sources said Jack Kennedy.

David Joyce, an analyst at the US securities firm Miller Tabak, said the spin-off of MySpace was in favor of News Corp investors. David Joes After MySpace's listing, News Corp investors may not want to hold shares in the company. "We are considering the various strategic options for MySpace," said Julie Henderson, a spokesman for News Corp Zhu Li Hendelson. Cais Kerry, Chase Carey, chief operating officer of News Corp, said at a meeting last November that MySpace's losses were "unacceptable and not sustainable" and that the goal for MySpace was to achieve positive cash flow in June this year.

In 2005, the heyday of MySpace was bought by News Corp at a price of 580 million dollars. But since then, the social networking site has struggled to make a profit in the fierce competition with Facebook. Last October, MySpace revamped, focusing on music, video and other entertainment content, and social networking is drifting away. MySpace also said in Tuesday that it would launch a "local strategic partnership" in the UK, Germany and Australia to carry out advertising sales and content business. The site will be in the UK to work with the Fox network, while the German and Australian cooperation is not finalized.