Well, this is embarrassing: News Corp. will probably sell MySpace for less than a tenth of what it paid for the social network, and for less than a third of its stated minimum bid. And, yes, big layoffs are coming.

The rumors of huge MySpace layoffs that we were first to report yesterday are true, inside sources told TechCrunch and then All Things Digital. What's more, there are now two potential buyers vying for the virtual shantytown, lengthening what was supposed to be a three-hour quick sale, according to All Things Digital said.

The bidders, a digital ad network and a private equity firm, are reportedly offering $20 million to $30 million. That's for a site News Corp. paid $580 million for in 2005 and announced it would accept no less than $100 million for just two months ago. But at least News Corp. will be able to clear MySpace off its books in time for the end of the fiscal year and then really enjoy its summer. Gin Rickeys all around!

[Photo via via jez s/Flickr]