Microsoft is dabbling in content again, according to Stephanie Olsen's news.com blog.
As she points out, Microsoft has zigged and zagged on the topic of content. I think MSN still hasn't resolved what it wants to be when it grows up. It seems torn between the Google (advertising) and Yahoo (content) models. Does MSN want to Madison Avenue, or Hollywood?
It would seem to be best if they're neither; that way they don't compete head-on. MSN Spaces is cleverly not competing directly with Blogger; Spaces (and Yahoo360, too, judging by the beta) is going after small groups of friends, whereas Blogger oriented to people with Technorati ambitions. MSN does have a great asset in their instant messaging user base, but they're probably still running second to Yahoo in community software.
Some places that come to mind for MSN: Wall Street (money and business, though Yahoo is ahead there), Main Street (merchandizing, though eBay and Amazon are the name brands), Elm Street (home and family). It looks like they're going for Elm Street.