Spotify’s Dawn Ostroff praised the growth of the audio giant’s podcasting expansion shortly after CEO Daniel Ek revealed a major leadership reorganization on Monday morning that will see Ostroff exit the company.
The reorganization, accompanied by a round of layoffs that will impact roughly 600 employees, involves consolidating Spotify’s business operations under co-president Alex Norström, who most recently oversaw the company’s freemium business. Ostroff, who joined Spotify in 2018 from Condé Nast Entertainment, will transition to an adviser role before formally leaving the company as her 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 includes hits like The Joe Rogan Experience, Call Her Daddy and the original series Caso 63 — account for roughly 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 much excited about my next step, working alongside and learning so much from so many of you has been a privilege,” Ostroff wrote. “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 on the next chapter of the Spotify story.”
Read the full memo below.
Looking back on the past four and a half years, I am incredibly proud of what we’ve built together. It’s our best-in-class music operation where we have strengthened our relationships across the business, earned the respect of the industry, and become great 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 astonishing, going from practically 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 have built with our original and exclusive shows–despite being just .05% of the number of shows on the platform, they account for ~20% of consumption. This includes a string of hits that had 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 opportunities in video as we’ve seen the numbers surge.
Over the past two years, we’ve modernized the advertising business to make it essential to brands and clients. And we have delivered, doubling our ad revenue to well over a billion euros in the process. The technology and innovation that the global ad and sales team has brought to market ensures that there will be billions more to come. That growth is set to change the marketplace forever, especially under the strong leadership of my dear friend Alex, who has my every confidence.
We’ve championed marginalized voices and worked to drive much-needed change in the audio industry. 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 much excited about my next step, working alongside and learning so much from so many of you has been a privilege. 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 on the next chapter of the Spotify story.