News Corp. 's Myspace is preparing to disclose a dramatic downsizing of its business, according to people familiar with the matter.

One person familiar with the matter said the site could lay off between a third and a half of its roughly 1,100 employees. Another person said the moves could be announced as soon as this month.

The restructuring is the latest step in Myspace's intensifying turnaround effort. The social network reduced its staff by nearly 30% last summer, laying-off hundreds of employees. But the cuts weren't sufficient to contain costs, a person familiar with the matter said, who added the new cuts would be across the board. Another person familiar with the matter said that, depending on the results of the restructuring, News Corp. may look for buyers for Myspace but there are no current talks over a sale.

A spokeswoman for the social network, which has headquarters in Beverly Hills, Calif., declined to comment.

Myspace in October redesigned its site to emphasize its media assets and later struck a new ad deal with Google Inc. According to people familiar with the situation, that deal, under which Google will sell search and graphical ads on the site, generates far less revenue for the site than an earlier deal, under which it received upfront payments. As part of that overhaul, Myspace is refashioning the site as a hub for music, games and entertainment. It unveiled the new site in October.