Spotify Technology is planning layoffs as soon as this week to cut costs, joining the likes of Alphabet Inc, Amazon.com Inc, and Microsoft Corp who have cut thousands of jobs recently, Bloomberg News has reported.
Monday’s report, which cited sources, said the number of
jobs being eliminated was not specified.
Spotify did not immediately respond to a Reuters news agency’s request
The music streaming giant fired 38 staff from its Gimlet Media and Parcast podcast studios last October which has about 9,800 employees, according to Bloomberg.
Tech firms shed jobs last year as a demand boom during the
pandemic rapidly fizzled, and layoffs have continued this year
with companies looking to rein in costs to ride out the economic
In the tech sector, major platforms with an advertising-based business model are facing budget cuts from advertisers, who are reducing expenses in the face of inflation and rising interest rates.
Meta, the parent company of Facebook, announced in November the loss of 11,000 jobs, or about 13 percent of its workforce. At the end of August, Snapchat let go about 20 percent of its employees, around 1,200 people.
Twitter was bought in October by billionaire Elon Musk, who promptly fired about half of the social media platform’s 7,500 employees.
Also, the IT group Salesforce, which specialises in management solutions and cloud technology, announced on Wednesday that it was laying off around 10 percent of its employees, or just under 8,000 people.