The world’s number one audio platform, the Swedish group Spotify, announced on Monday the reduction of 6% of its workforce, or almost 600 jobs, the latest episode in a series of major layoffs at Internet giants to reduce their costs.
“Over the next few hours, one-on-one interviews will take place with the concerned employees,” online music flagship managing director and co-founder Daniel Ek said in an online message.
“In retrospect, I was too ambitious to invest faster than our turnover growth,” he wrote in a message to employees. “For this reason, we are reducing our workforce by around 6% throughout the group,” explains the head of the New York-listed group.
Amazon, Meta, Microsoft, Google…
While Spotify has been profitable from time to time, the Stockholm-born group has posted steady losses for several years, despite skyrocketing subscribers and a lead over rivals like Apple Music.
“As you know, we have made a considerable effort in recent months to reduce our costs, but it simply has not been enough,” Daniel Ek justified this Monday.
The announcement by Spotify, which is due to publish its annual results on January 31, follows a series of layoff plans at global internet giants in recent weeks, despite their much smaller workforce.
After layoffs at Amazon, Meta and Microsoft, Google in turn announced 12,000 job cuts worldwide on Saturday, or just over 6% of its workforce. Microsoft had announced on Wednesday 10,000 layoffs by the end of March.
Source: BFM TV
