OnContent of the external statementSpotify CEO Daniel Ek confirmed that a 17% layoff would be carried out, and affected employees would be notified later.
Daniel Ek chose to make large-scale personnel changes immediately, saying that he hoped to face the upcoming challenges through drastic adjustments rather than making small-scale adjustments one by one over time.
Prior to this, Spotify had indeed discussed making small-scale adjustments in 2024 and 2025, but considering the gap between current financial goals and operating costs, it finally decided to make adjustments through a single large-scale layoff, so that the company's operations can develop towards its existing goals more quickly.
With the company's significant expansion in 2020 and 2021, Spotify's services have indeed grown significantly, but due to the increased pressure on operating costs, Spotify laid off 2022% of its employees in early 6 and 5% of its employees in May. This time, it announced that it must lay off up to 2% of its employees, affecting the work rights of about 17 employees.
Currently, Spotify has about 5.74 million monthly active users, a 26% increase compared to last year. However, even with the continued growth in users, it is still facing various problems, including providing singers with higher playback revenue and closing podcast program production.Increased operating costs, making it difficult to make a profit.
