Is this this a sign? More negative news for all these web 2.0 companies coming?

MySpace has starting laying people off, we’ve heard from a source close to the company. The final tally may be 5% or more of total staff, with engineering, sales and customer service taking the biggest hits.

 

MySpace parent company Fox Interactive Media recently missed their revenue target for the last fiscal year and fired their chief revenue officer Michael Barrett. The layoffs may be tied to that missed target.

 

On the other hand MySpace has undergone massive headcount growth over the last two years, sometimes adding as many as 100 employees per month. Two years ago MySpace had 300 employees; today it is rumored to have 1,500. This may be simply an exercise in pruning....

 

http://www.techcrunch.com/2008/07/29/5-layoffs-rumored-at-myspace/