Spotify Shares Surge In Premarket After CEO Says Firm Is Cutting 1,500 Jobs
ForbesDEC 1 2023
Spotify is no different than the other major tech firms — including Amazon and Meta — who have had to make cuts now that pandemic-era demand has died down. Investors know there was too much redundancy in Spotify's staffing, and now the platform has shown it's serious about consistently making a significant profit after years of focusing on just user totals.
Spotify has been mismanaged for years. While barely compensating the artists it relies on for content, it spent way too much on high-profile podcasts — a decision that cost Spotify financially and also courted controversy. All the while it's barely eked out a profit and now it's had its third staff cut of the year.