Spotify to cut 6% workforce, some 600 employees: CEO

Spotify Technology is planning to cut staff and the move could come as soon as this week, reported Bloomberg News

Updated - January 23, 2023 08:46 pm IST

Published - January 23, 2023 10:50 am IST

File photo of the Spotify logo, along with audio earbuds

File photo of the Spotify logo, along with audio earbuds | Photo Credit: REUTERS

Spotify Technology is planning layoffs as soon as this week to cut costs, Bloomberg News reported on Sunday, joining the likes of Alphabet Inc., Inc., and Microsoft Corp. who have cut thousands of jobs recently.

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Swedish music streaming giant Spotify said Monday that it was cutting six percent of its roughly 10,000 employees, the latest among a slew of cost-cutting announcements by technology companies.

"In hindsight, I was too ambitious in investing ahead of our revenue growth. And for this reason, today, we are reducing our employee base by about six percent across the company," Spotify CEO Daniel Ek said on Spotify's official blog.

Tech firms shed jobs last year as a demand boom during the pandemic rapidly fizzled, and layoffs have continued this year with companies looking to rein in costs to ride out the economic downturn.

In the last few weeks, Google parent Alphabet said it would eliminate 12,000 jobs, while Microsoft said it would eliminate 10,000. Amazon's layoff round will impact more than 18,000 roles.

Other tech companies like Facebook-parent Meta and Elon Musk's Twitter laid off thousands late last year.

(With input from Reuters, AFP)

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