MySpace China Faltering

MySpace China is reportedly planning to cut half its staff, and its CEO has already left the company, according to Yahoo News.

Launched in 2007, the Chinese version of MySpace advertised itself as a social networking platform for music fans, but has never caught on, despite the fact that it is one of the few foreign social networks in China. Both Twitter and Facebook are blocked by authorities.

China’s Internet market is estimated at 450 million users. About half of them visit social networking sites, almost all of which are local. An analyst told Yahoo that MySpace’s focus on music may explain its lack of users since “it didn’t have the products to attract” Chinese music fans.

Another expert said that MySpace is “not a player, never was,” even though it arrived in China amidst a great deal of hype. This expert says the company spent too much time “getting shareholders, hiring people” and otherwise focusing on “the setup” rather than the market.