News Corp is laying off nearly a third of its staff at The Daily, the digital-only news publication championed by company founder Rupert Murdoch.
It will cut 50 of its roughly 170 employees and focus resources on its more popular features.
It says the move reflects the "changing business environment for news and media".
The Daily will stop reporting on sport and instead use content from partners such as Fox Sports.
The standalone Opinion section is being scrapped.
Instead it will publish opinion pieces in news pages from time to time.
It will also publish pages in the portrait format only, instead of horizontally as well, to reflect the preference of most readers.
The Daily charges 99 US cents per week or $US40 ($A38.30) a year.
It is available only for mobile devices.