The streaming company SoundCloud announced the additional layoffs after cutting 20% of its workforce back in August.
Music streaming platform SoundCloud continues to reduce its workforce in an effort to create sustained profitability. The latest round of layoffs, which let go of 8% of SoundCloud’s staff, happened less than a year after the company laid off 20% of its staff in August.
According to reports, the layoffs were announced in an internal memo sent by SoundCloud’s CEO Eliah Seton, where he described the decision as “essential” for getting the company to be profitable this year. He also noted that the decision was needed in order to secure “the company’s future for the millions of artists who rely on us for their living and their self-expression, and the millions of fans who come to SoundCloud for the joy of music.”
The layoffs come as SoundCloud continues to make changes as a company. Back in March, the company announced in a press release that the board of directors appointed Seton as the company’s new chief executive officer. He replaced Michael Weissman, who joined the company in 2017 and become CEO in 2021.
Just last month, the company announced that it was partnering with Merlin, the independent’s digital music licensing partner, to release a global licensing deal that allows Merlin members and their artists to engage in SoundCloud’s Fan-Powered Royalties model. It also allows rightsholders and artists to earn income based on their fans’ listening traits and better communicate with their top fans directly on the platform.
Mass layoffs are nothing new to SoundCloud. Back in 2017, SoundCloud laid off 40% of it’s workforce in an effort to position the company for success in the future. Other major companies, such as Microsoft and Amazon, have also recently announced that they are cutting their workforce.
Image Credits: © SoundCloud Media Kit | https://press.soundcloud.com/media_kits
