He shall be leaving the corporate on March 31, 2024.
Music streaming big Spotify introduced this week that it could scale back the variety of its workers by round 17 per cent in a bid to chop prices amid “dramatically” slower financial development. Around 1,500 individuals will go away the corporate, the corporate said. Amid this, Spotify’s Chief Financial Officer has additionally introduced his exit. Paul Vogel joined the corporate in 2016 as the top of investor relations and was promoted to the CFO place in 2020. Announcing his departure, the music streaming big mentioned that he shall be leaving the corporate on March 31, 2024.
“Spotify has embarked on an evolution over the last two years to bring our spending more in line with market expectations while also funding the significant growth opportunities we continue to identify. I’ve talked a lot with Paul about the need to balance these two objectives carefully. Over time, we’ve come to the conclusion that Spotify is entering a new phase and needs a CFO with a different mix of experiences,” Daniel Ek, the Chief Executive Officer of Spotify mentioned in a press release.
He added, “As a result, we’ve decided to part ways, but I am very appreciative of the steady hand Paul has provided in supporting the expansion of our business through a global pandemic and unprecedented economic uncertainty.” In order to facilitate “the company’s realignment of its financial leadership team,” Spotify’s vice-president of economic planning and evaluation, Ben Kung, shall be taking up extra duties.
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Meanwhile, the corporate was the newest in a sequence of layoffs introduced within the tech trade chopping tens of hundreds of jobs following a growth throughout Covid pandemic lockdowns. “I realise that for many, a reduction of this size will feel surprisingly large given the recent positive earnings report and our performance,” CEO Daniel Ek wrote in a letter to workers, which was seen by AFP. He mentioned that in 2020 and 2021, the Swedish firm “took advantage of the opportunity presented by lower-cost capital and invested significantly in team expansion, content enhancement, marketing and new verticals.”
“However, we now find ourselves in a very different environment,” noting that “economic growth has slowed dramatically and capital has become more expensive.” “Despite our efforts to reduce costs this past year, our cost structure for where we need to be is still too big,” he added
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