Soundcloud to lay off 8% of its workforce
Soundcloud CEO, Eliah Seton, has sent an email to all the employees saying that 8% of the workforce will be laid off soon.
The famous music streaming app is struggling financially, and it has decided that the solution to solve this matter is to lay off 8% of its workforce. CEO Eliah Seton made the announcement by sending an email to the employees, and the email was seen by Variety. The move will affect 40 employees of the company.
"Ultimately, I take accountability for this decision and will carry that with me every day. Most importantly, we are absolutely determined to treat everyone with the utmost respect and manage this process in as generous a manner as possible. This is a challenging but essential decision to ensure the health of our business and get SoundCloud to profitability this year," Seton wrote in the email.
Soundcloud is not the biggest music streaming company in the world, but it surely has a big audience and user base. The board has decided to cut the workforce to get the company to profitability this year. Seton says that the company is trying to maintain its health in today's economic difficulties. The music streaming platform aims for a profitable business by the last quarter of 2023.
The company, which in the 2010s was kind of a streaming platform for younger generations and upcoming talents, has spent the last several years working to reinvent itself as a more official streaming service.
20% of the workforce has already been laid off in August
Back in August, Soundcloud conducted another round of layoffs and parted ways with 20% of its workforce. This will be the second attempt to get to profitability in a short amount of time.