Points for Candor, If Not Performance

My colleague David Cohen reported earlier today on MySpace’s latest move to reverse a steep decline in fortune (not to mention traffic) in the past year.

The social networking company used the Web 2.0 Summit in San Francisco to announce on Wednesday its MySpace Music initiative. This morning, Jonathan Miller, chief digital officer of parent company News Corp., reflected on MySpace’s competitive woes during a fireside chat onstage with Fortune‘s Jesse Hempel. CNET News.com‘s Caroline McCarthy quotes Miller:

“I think that what you see in the space more than anything else is if you don’t keep innovating and moving forward you get in trouble,” Miller said in his talk on Thursday morning. “You can’t stop, you have to keep going, and (MySpace) didn’t keep going, it kind of stopped.”

My initial reaction when I saw that quote was, “Gee, ya think?” But I have to give Miller some credit for acknowledging the truth (OK, the obvious truth) in a public forum. Not all Internet executives would be so honest and forthcoming.