'Too ambitious' | Spotify CEO accepts blame for financial woes, so why must staff take the hit?

Spotify has announced it will cut 600 jobs in a bid to recoup some of its huge overspending in recent years.

The music streaming giant’s CEO Daniel Ek admitted the company had bitten off more than it could chew, and at times was spending twice as much money as it was making.

Ek, who also co-founded Spotify, told staff that the business had been “too ambitious” and consequently it was having to rein in spending – in this case by reducing the payroll.

“...to bring our costs more in line, we’ve made the difficult but necessary decision to reduce our number of employees” Ek wrote.