I work for Spotify and I can tell you the company's spending is completely out of control. Between throwing parties where they fly every single employee out to Sweden to party or purchasing Echo Nest, only to ditch the tech later for in-house tech (Discover Weekly), they really have no clue how to manage their capital. We have nearly 2000 employees and no roadmap for profitability. Talk of an IPO has been ongoing since 2013 and employees can barely invest in the ESOP since the share price is so ridiculously priced at over $1000 a share.
Spotify has postponed the inevitable by granting shares of the corp to the companies they license music from. However, the time will come when the larger institutions want their money back and it's not going end pretty. They need to reduce their liabilities and reduce headcount ASAP.
Spotify has postponed the inevitable by granting shares of the corp to the companies they license music from. However, the time will come when the larger institutions want their money back and it's not going end pretty. They need to reduce their liabilities and reduce headcount ASAP.