The page URL is being totally changed, so it looks like a subdomain and not a directory anymore. For example if you had spaces.msn.com/msgstuff/ it would turn into msgstuff.spaces.msn.com, you may have your different views on the new style; I personally think the old way looked better.
This is the second URL change since MSN Spaces was launched, the first being from spaces.msn.com/members/msgstuff/ to the current spaces.msn.com/msgstuff/ during the update to version 10.5 earlier this year.
Yet the team in charge of MSN Spaces has not stated a reason for this major change yet, none at all, although it could possibly be something to do with the inevitable change from MSN Spaces to Windows Live Spaces.
Unfotunately due to this change search engines will pick up things wrong as well as people linking to a space will find themselves having to change the links. On the positive side, you may like the new change and all links that go to the wrong URL will automatically be redirected to the new URL, so it should not be too much trouble.
View MSN Spaces team blog entry
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