Twitter’s $70mn SoundCloud investment goes awry
Twitter has lost almost all of the $70 million money it had invested in music streaming platform SoundCloud, the company…
Online music Streaming and distribution platform, SoundCloud has reported to cut 20% of its headcount “given the challenging economic climate and financial market headwinds”.
SoundCloud CEO Michael Weissman wrote in an email that impacted workers would be advised throughout the following a few days, reports Billboard.
“We will be making reductions to our global team that will impact up to 20 per cent of our company,” Weissman said in the email.
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“Making changes that affect people is incredibly hard. But it is one that is necessary given the challenging economic climate and financial market headwinds,” he added.
The change positions SoundCloud for the long run and “puts us on a path to sustained profitability”, Weissman said.
In 2017, SoundCloud terminated around 40% of its work force for the organisation’s “long-term, independent success”.
This time, the organisation said that it has “begun to make prudent financial decisions across the company and that now extends to a reduction to our team”.
“We are focused on providing the support and resources to those transitioning while reinforcing our commitment to executing our mission to lead what’s next in music.”
SoundCloud declared its most memorable beneficial quarter in 2020. Recently, the organisation said its yearly income run rate was around $300 million.
Other music and content streaming platform like Spotify and Netflix have additionally declared work cuts.
(inputs frm IANS)
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