Spotify lays off 200 employees in the podcast division – 05/06/2023 – Tech

The Swedish group Spotify, number one among audio platforms, announced this Monday (5) the dismissal of 200 positions – 2% of its staff – that are related to podcasts. The decision was informed by the company itself in a statement.

Less than six months after an initial cut of 600 jobs, the streaming platform specified that it has started the next phase of the “podcast strategy”, after major investments made in recent years.

Historic leader in legal music streaming, Spotify has invested millions of dollars in the podcast service over the last few years, making it the world’s number one.

The profitability of this sector, however, has not yet been proven, analysts point out.

At 2:30 pm GMT on Wall Street (11:30 am GMT), Spotify shares were up 2.70% to hit $115.83 (R$570).

The company posted losses for several years despite lightning growth.

At the end of the first quarter, the platform reached a new peak of 515 million active users, a year-on-year increase of 22%.