Spotify cuts this week suggest ‘unsustainable business model’
On the latest episode of the Mumbrellacast, the Mumbrella team look at the shock cuts announced by Spotify this week, which saw CEO Daniel Ek announce that 17% of the organisation’s total headcount were being let go.
Given that just weeks ago, Spotify podcast account director for JAPAC, Sam Moles, told Mumbrella in an interview that podcast exclusivity will no longer be a priority for the business – despite Joe Rogan’s reported $200 million deal in 2020 – and the fact that artists continue to skewer the service for poor royalty fees (most recently Weird Al Yankovic jokingly shared with his fans that he received just $12 despite garnering over 80 million streams in 2023), Mumbrella deputy editor Nathan Jolly said something needs to change.
“The whole Spotify thing seems like an unsustainable business model,” Jolly said on the Mumbrellacast.
