Lets be honest. This is the spin that many new execs give especially after the previous executives were fired.
If things are worse than they appeared, then the new execs look that much better when things improve and don't look so bad if they fail. If they fail, they just argue that it couldn't be salvaged
It's almost certain that only a small fraction are actually technical people, because you don't need many tech people to keep such a site actually running.
But you do need people doing:
* Marketing/sales/advertising
* Finance/accounting
* Customer service
* Public relations
* Compliance
* etc., etc.
You also need at least some management to keep things running. And, at that size, human resources. And probably facilities/B&G people. And... well, let's just say I'm not surprised that there'd be 750 people.
I remember reading somewhere that Facebook has 400 employees (400 employees for 200 million members). The difference between MySpace and FB is striking.
It would be interesting to know how many of that workforce actually work in engineering type roles.
MySpace, being part of news corp, also probably has a large amount of people in traditional media content type roles. I think they have managed that side of the business well, they are certainly better at monetrization than facebook. It's just the state of there platform that lets them down.
If things are worse than they appeared, then the new execs look that much better when things improve and don't look so bad if they fail. If they fail, they just argue that it couldn't be salvaged