The newly revamped social service Myspace continues to attract an audience following its debut — with 31 million visitors and 995,000 app downloads reported in its first 14 days. It has also redesigned its mobile app and is launching a major marketing campaign to target millennials, with their music tastes and interests in mind. However, the service may still need to address issues related to offering unlicensed content from independent labels.

In its first 14 days of availability, Myspace attracted 31 million visitors (16 million in the first week alone). The Myspace mobile app increased in downloads from 450,000 during the first week to 995,000 total during the first two weeks.

Although the Myspace mobile app for iOS is gaining attention, it faces significant competition. Last week, it was ranked #147 of the free iPhone apps, below other music apps such as Shazam (#72) and SoundCloud (#103). However, it is iTunes’ 18th most popular free social networking app, but behind Google+, notes The Hollywood Reporter.

Myspace is using a new $20 million marketing campaign to reintroduce the service to the millennial demographic. Their themes emphasize music, creativity and sharing.

“One thing Myspace doesn’t have that it really should after its first week of service?” asks VentureBeat. “A licensing deal to play music from a slew of major indie labels that represent popular artists such as Ani Difranco, Arctic Monkeys, Arcade Fire, Wilco, Tom Waits, Animal Collective, The National, and thousands of others represented by digital rights management group Merlin.”

Merlin’s catalog includes a library of more than 3 million tracks from about 20,000 indie labels.

“We do not yet have a deal with MySpace. Our labels’ music should not be available on the service,” suggests Merlin CEO Charles Caldas. “We continue to work to strike an appropriate deal and hope that they will ultimately recognize that our music will be a key factor in their success.”