MySpace is finally winding down News Corp (NYSE: NWS). social media incubator Slingshot Labs after a slow death. Valleywag, which broke the story, says that MySpace parent News Corp. decided shut off the lights for good after Chris DeWolfe exited as CEO in April ’09. While MySpace didn’t have a comment, sources told paidContent that the decision was not so cut and dried.
In any case, Slingshot’s roughly 20 staffers were put to work last month on WSJ Connect, which was billed as a “LinkedIn Killer” last year. With the demise of Slingshot, though that project is dying too. Like Slingshot, the feeling was that the work didn’t warrant the investment.
Not all Slingshot’s staffers will find themselves out of work, our source says, as many have been told that News Corp. will try to place some of them at MySpace.