This has truly been the summer of MySpace's discontent. The social network has already endured layoffs and a CEO shakeup, and now it must shoulder the blame for a $363 million loss in the fiscal year that ended in June.
MySpace's parent company, News Corp., took a heavy financial hit over the course of the year, losing $3.4 billion in net income. In its filings, News Corp. pegged $363 million worth of operating losses on "lower contributions" from Fox Interactive Media (FIM), according to Mashable. FIM is the umbrella that includes web properties IGN, Photobucket, and of course, MySpace.
The parent company said FIM's operating losses were driven primarily by lower ad revenue at the struggling social network and costs associated with MySpace Music, which launched last September. MySpace still earns more ad revenue than its main rival, Facebook, despite less traffic.
In other News Corp. news, head honcho Rupert Murdoch said the company will help stop the bleeding by charging for access to its news websites, which include the Times, the Sun, and The Wall Street Journal, according to The Guardian.
