MySpace Chops 47 Percent

Amid rumors for weeks that Los Angeles-based MySpace has been planning massive layoffs, the firm said today that it is cutting 47 percent of its staff globally, or roughly 400 employees. In a statement attributed to CEO Mike Jones and published on PaidContent, the firm said the moves were a result of its relaunch as an entertainment destination for Gen Y, and give the site a "clear path for sustained growth and profitability." MySpace has been undergoing major structural changes over the past few years, as the firm's core social networking business shifted to competitor Facebook.