“In retrospect, I was too ambitious when it came to investing ahead of our revenue growth. And for this reason, today we are reducing our employee base by approximately six percent across the company,” Spotify CEO Daniel Ek said on Spotify’s official blog.
“I take full responsibility for the moves that got us here today,” Ek added.
The Swedish company, which is listed on the New York Stock Exchange, has invested heavily since its launch to drive growth with expansions into new markets and, in recent years, exclusive content such as podcasts.
Spotify has never reported a full-year profit despite its success in the online music market.