Spotify has recently implemented another round of staff reductions within its podcast division, impacting 15 employees across The Ringer and Spotify Studios, according to a report by Variety.

The layoffs, which occurred internally on Tuesday, represent approximately 5% of the total workforce in these units.Sources indicate that the roles are being reallocated to bolster the streaming service’s increasing focus on video podcasts. No existing podcast series will be cancelled consequently of these changes.

as of Thursday afternoon, employees at The Ringer had not yet received a company-wide dialog or been informed of the changes in a meeting, according to insiders.

When asked about the staff reductions, Spotify declined to comment. A company representative told Variety, “Spotify does not comment on staffing changes.”

This latest move is smaller in scale compared to the company’s extensive restructuring in 2023, during which around 200 podcast staff members were laid off as part of what Spotify described as a “strategic realignment.” Over a broader period,Spotify eliminated approximately 1,500 positions-roughly 17% of its global workforce-starting in late 2023 and continuing into early 2024.

Spotify acquired The ringer in 2020 for approximately US$250 million, as part of a broader investment in podcasting that included exclusive deals with prominent talent and investments in technological infrastructure.

Among those who were let go this week were senior staff writer CLAIRE MCNEAR and audio producer JONATHAN KERMAH, both of whom shared the news publicly.

“[T]ime for an unfortunate media rite of passage: after 9 years at The Ringer, I was laid off this week,” MCNEAR wrote Thursday on X. “I’m gutted to leave, but grateful for my time there, the many wonderful folks I worked with over the years, and all the stories I got to tell.”

KERMAH, known to fans as “Kerm,” posted Wednesday: “It hurts me to say that yesterday I was laid off from the ringer after five years with the company. At 21 years old I was blessed with the chance to be an intern at my favorite website in the world doing work that I love. Who knew that it would turn into a five year journey.”

During spotify’s Q1 earnings call in April, CEO DANIEL EK addressed the company’s video strategy, clarifying that it is indeed not “a pivot to video” but rather a response to creator demand and a strategy to enhance user engagement. Though, he did not dismiss the possibility of expanding into other video formats in the future.

“Spotify does not comment on staffing changes.”

Understanding Spotify’s Podcast Strategy

Spotify’s recent staff reductions in its podcast division signal a strategic shift towards video content. This move reflects the evolving media landscape and changing consumer preferences. The company aims to leverage video podcasts to increase user engagement and cater to content creators’ demands.