Swedish music streaming giant, Spotify, is set to cut 6% of its entire workforce — a move which will amount to laying off around 600 employees.
The cuts come as part of efforts to increase efficiencies in a “challenging macro environment”, the tech company announced on Monday, January 23rd. Spotify reported net losses of $181 million in the third quarter of 2022, compared with a $2 million profit the year before, with share prices falling by a monumental 49% in a single year.
Spotify was forced to take the decision after soaring costs and growing operational expenditure began to rapidly outpace revenue generation, and followed the firing of 38 staff from Gimlet Media and Parcast podcast studios in October, which are also owned by the Swedish streaming service.
“In hindsight, I was too ambitious in investing ahead of our revenue growth,” admitted chief executive Daniel Ek. “That would have been unsustainable long-term in any climate, but with a challenging macro environment, it would be even more difficult to close the gap”.
Ek went on to confirm that chief content officer Dawn Ostroff would also be leaving the company, whose workforce numbered 9,800 employees in mid-2022.
A total of 97,171 jobs were axed in the technology sector in 2022, a 649% increase over 2021 and the highest since the fateful dot-com crash of the early 2000s. Spotify’s layoffs mirror those of other corporations in the technology sector, including Meta, Microsoft, Amazon, and Google’s Alphabet. Part of those cuts can be explained by the extra hires required during the height of the Covid pandemic, though rising interest rates and growing fears of a recession are also influencing the somber atmosphere.
ABB E-mobility Delivers Its Millionth EV Charger
Continued growth has been facilitated by doubling production capacity after the launch of the company’s new DC fast charger facility in Valdarno, Italy.
ABB is a leader in electrification and automation solutions and has just announced the delivery of its millionth electric vehicle charger — the latest milestone in the company’s ongoing mission to create an emission-free future using smart and reliable EV charging solutions.
ABB currently boasts a presence in over 85 markets. After the launch of the company’s new $30 million, 16,000 squared meter production facility in Valdarno, Italy, production capacity has doubled over the last two years. The cutting-edge manufacturing plant recently set a new benchmark for the EV sector, producing a fast charger unit every 20 minutes, thanks to the high-tech factory’s seven simultaneous production lines.
“While our continual investment in research and development shows our ongoing commitment to enhance the field of e-mobility, the global delivery of these solutions at scale is integral to the realization of our goals. I want to thank our customers globally for their continued collaboration in hitting this one millionth charger milestone. I look forward to the millions yet to come, and to the cleaner, greener world they will help create,” says Frank Mühlon, ABB E-mobility CEO.
In the United Arab Emirates, ABB has installed over 80 fast and high-power DC charging stations, making it one of the largest projects from a single brand in the region. The biggest station is in Yas, Abu Dhabi, and offers 20 DC fast and high-power chargers for owners of emissions-free vehicles.
“We are proud that ABB chargers are today powering electric vehicles across strategic locations in the country, including the sites of the Dubai Utility provider, DEWA, and Abu Dhabi National Oil Company. Most of the car manufacturers and dealers in the UAE have ABB chargers in their showrooms and as well as car parking areas. We are confident ABB’s technical know-how, products, and research in the field of E-Mobility will continue to support the decision-makers in the Middle East to drive the transition to an emission-free future,” says Ahmed Abdu, E-mobility division lead, MENA region.
In addition to its Italian facility, ABB E-mobility has continued its global expansion. Earlier this month, the company announced a new United States facility that will eventually turn out over 10,000 chargers per year for the public sector, providing power to school buses and other fleets. As well as expansion into the USA, ABB E-mobility’s stake in Chinese charging provider, Chargedot, opens up another lucrative market for the EV charging giant.