Days after rumors broke out about looming layoffs at Spotify’s podcast division, there’s been official confirmation that the streaming audio giant is letting around 2% of the company’s workforce go.
Spotify’s Vice President and Head of Podcast Business, Sahar Elhabashi, publicly shared a modified internal memo that announced the news to employees on Monday. Elhabashi opened the letter by praising Spotify’s podcast successes, including double-digit ad revenue growth in the past year.
Despite those positive numbers, emphasis was placed on delivering more value for creators and users. To align with this strategy, Spotify made t he decision to cut the jobs of 200 employees in the global podcast vertical and other functions.
As part of the trimming, Parcast and Gimlet Studios are being combined into a renewed Spotify Studios operation. The Ringer will continue as its own brand, still focused on sports, culture, and tech, with Bill Simmons staying on as Managing Director.
This is the second round of major staff cuts this year after Spotify laid off around 600 workers in January, with a focus on podcasting.
