Spotify to reduce staff by 17% in second layoff this year

Spotify will reduce its total headcount by around 17% across the company, it said in an email on Monday, after laying of 6% of this staff in January citing higher costs.

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In the latest third quarter, the company swung to a profit aided by price hikes in its streaming services and growth in subscribers in all regions.

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CEO Daniel Ek said a reduction of this size will feel surprisingly large given the recent positive earnings report and its performance.

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"Yet, considering the gap between our financial goal state and our current operational costs, I decided that a substantial action to rightsize our costs was the best option," the CEO said.

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