SANTA MONICA (Hypebot) – Just as the new MySpace logo dropped the word "space," MySpace execs saw their own space to improve the social network evaporate as News Corp executives put them on notice during an investors call.
MySpace was given less than a year to turn the newly redesigned ship around as Chase Carey, News Corp's president, declared MySpace "a problem".
"The current losses are not acceptable or sustainable. Our current management did not create these losses but they know we have to address them," he stated.
Quarterly losses at MySpace have jumped by $30 million to $156 million.
"Traffic numbers are still not going in the right direction," continued Carey and, "we judge (performance) in quarters, not in years". He said that last week's redesign of MySpace "has been generally well received by the opinion makers in the business but we recognize the critical issue is building interest with consumers."
If stats don't improve at MySpace in the next few quarters, a sale rather than a shut down is expected.