Spotify To Cut 2% Of Its Workforce

Audio streaming giant Spotify Technology (SPOT) has announced plans to cut 2% of its global workforce, or about 200 staff, primarily in its podcast division.

The Swedish company said in a blog post that the cuts will help it become more efficient and optimize its operations. The cuts are expected to also impact the finance and talent acquisition departments.

The layoffs are being accompanied by an executive shakeup at Spotify as several existing producers and the company’s managing director change roles in an internal shuffle.

Spotify has spent heavily to gain market share in the streaming space, particularly with podcasts. The company has spent more than $1 billion U.S. since 2019.

Spotify says there are now 100 million podcast listeners on its streaming platform, representing 10% growth, and that consumption has grown more than 1,400% in recent years.

Spotify’s stock has risen 40% over the last 12 months to trade at $156.34 U.S. per share.