Courtney Holt is stepping down from his role as president of MySpace Music, the social entertainment site's joint venture with major record labels, and becoming an adviser to MySpace and its parent News Corp.
MySpace Chief Executive Mike Jones informed employees in a memo this week.
Holt, a voting member of The Recording Academy and former digital music executive at MTV Networks, will remain on the MySpace Music board.
MySpace Music offers free streams of songs online, supported by advertising revenue, but it has struggled to change the dynamics of the recorded music business, which is hampered by declining DVD sales and piracy.
News Corp. is looking at strategic options for MySpace and last month said it laid off about half its global staff, or about 500 people.