Spotify to cut headcount by 17% as growth slows; Shares gain By Investing.com

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<span>© Reuters. Spotify (SPOT) to cut headcount by 17% as growth slows; Shares gain</span><br />
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<p>Spotify (NYSE:) shares rose more than 2% in pre-market trade on Friday after the company announced it will cut approximately 17% of its total workforce.</p>
<p>In an update on the company’s website, CEO Daniel Ek said the decision marks “a significant step change for our company.”</p>
<p>“To align Spotify with our future goals and ensure we are right-sized for the challenges ahead, I have made the difficult decision to reduce our total headcount by approximately 17% across the company,” he said in a post.</p>
<p>According to Ek, Spotify contemplated implementing smaller workforce reductions over the course of 2024 and 2025. </p>
<p>However, in light of the significant disparity between the company’s financial goal state and its current operational costs, CEO Ek decided that a substantial action to rightsize costs was the most effective option to achieve the company’s objectives.</p>
<p>Back in October, Spotify said its third-quarter revenue rose 11% year-over-year to 3.36 billion euros. For this quarter, the company expects to generate 3.7 billion in Q3 revenue.</p>
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<br /><a href="https://www.investing.com/news/stock-market-news/spotify-to-cut-headcount-by-17-as-growth-slows-shares-gain-432SI-3248462">Source link </a></p><p>The post <a href="https://forextraderhub.com/spotify-to-cut-headcount-by-17-as-growth-slows-shares-gain-by-investing-com.html">Spotify to cut headcount by 17% as growth slows; Shares gain By Investing.com</a> first appeared on <a href="https://forextraderhub.com">Forex Trader Hub</a>.</p>