Rupert Murdoch's News Corp has sold off MySpace, for a fraction of the price it was bought for in 2005. The buyer, Specific Media, reportedly paid $35 million for the social networking site, which has seen its popularity dwindle as Facebook passed it by. Murdoch originally paid $580 million in 2005.

Specific Media also announced that actor/musician Justin Timberlake is an investor in the group and will have a hands-on role in the company. In a statement, the company said, "As part of the deal, Emmy and Grammy winning artist Justin Timberlake will also take an ownership stake and play a major role in developing the creative direction and strategy for the company moving forward. Specific Media and Timberlake plan to unveil their vision for the site in an exclusive press conference later this summer."

Specific Media CEO Tim Vanderhook stated, "MySpace is a recognized leader that has pioneered the social media space. The company has transformed the ways in which audiences discover, consume and engage with content online."

"There are many synergies between our companies as we are both focused on enhancing digital media experiences by fueling connections with relevance and interest," he added. "We look forward to combining our platforms to drive the next generation of digital innovation."

Unfortunately, according to AllThingsD, roughly half of MySpace's workforce of approximately 400 will be laid off as part of the transition. MySpace CEO Mike Jones announced in a memo yesterday that he will soon be stepping down for the company, and mentioned additional "restructuring initiatives," according to CNet.