Dawn Ostroff writes memo to Spotify employees amid exits, layoffs

Spotify’s Dawn Ostroff praised the growth of the audio giant’s podcast expansion shortly after CEO Daniel Ek revealed one major management reorganization Monday morning, Ostroff will leave the company.

The reorganization, accompanied by a round of layoffs that will affect about 600 employees, involves consolidating Spotify’s business operations under co-president Alex Norstrom, who most recently oversaw the company’s freemium business. Ostroff, there joined in Spotify in 2018 from Condé Nast Entertainment will transition to an advisory role before formally exiting the company, as its divisions now fall under Norström’s purview.

In a note to staff, obtained by The Hollywood Reporter, Ostroff praised Norström and reflected on the growth and impact of Spotify’s podcasting team, writing that the platform’s original and exclusive shows — which include hits such as The Joe Rogan Experience, Call her dad and the original series Case 63 — account for about 20 percent despite representing about 0.05 percent of shows on the platform.

“I’m so proud that we’ve built a home for creators to bring their art to the world in ways no one could have previously imagined. And while I’m very excited about my next step, it’s been a privilege to working together and learning so much from so many of you,” Ostroff wrote. “The memories of the moments, the stress and the laughs we shared have helped me grow and better appreciate the journey…and for that I will always be grateful. I wish you every success in the next chapter of the Spotify story. “

Read the full note below.

When I look back on the last four and a half years, I am incredibly proud of what we have built together. It is our best music company, where we have strengthened our relationships across the business, gained respect from the industry and become good partners. The entire music team is the heart and soul of this company.

Working together, our podcasting team has revolutionized the space. This organization’s trajectory has been amazing, from virtually zero market share and a handful of podcasts, to the leading platform with more than five million podcasts today and a 30x increase in podcast consumption on the platform. And I’m really proud of what we’ve built with our original and exclusive shows – despite being only 0.05% of the number of shows on the platform, they account for ~20% of consumption. This includes a string of hits that saw Spotify O&E shows occupy 6 of the top 10 and 24 of the top 100 slots on our global charts in 2022. In addition, we’ve learned so much from creators about the possibilities in video that we I have seen the numbers rise.

Over the past two years, we’ve modernized the advertising business to make it essential for brands and customers. And we have delivered and doubled our advertising revenue to well over a billion euros in the process. The technology and innovation that the global advertising and sales team has brought to market ensures that billions more will come. That growth is poised to change the market forever, especially under the strong leadership of my dear friend Alex, who has my full confidence.

We have fought for marginalized voices and worked to drive much-needed change in the audio industry. I am so proud that we have built a home for creators to bring their art to the world in ways no one could have previously imagined. And while I am very excited about my next step, it has been a privilege to work with and learn so much from so many of you. The memories of the moments, the stress and the laughter we shared have helped me grow and better appreciate the journey… and for that I will always be grateful. I wish you every success with the next chapter of the Spotify story.

Dawn

This story was originally published on THR.com.

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