On the heels of last week’s speculative post on monetization opportunities for social networks around location targeting, The Wall Street Journal writes about MySpace’s changing monetization strategy.

Though it is planning to target users with a more granular set of criteria (grouping them into thousands of categories), this is mostly behavioral and contextual targeting, while geographic relevance seems to be understated. As mentioned last week, there could be a big opportunity to integrate more location-specific directional type advertising to drive purchases where they’re actually happening: locally.

I’m not sure if MySpace is interested in moving in this direction, but it appears to mainly have other priorities. We’ll see how its ad serving evolves and if local has any part in it.