Pandora is set to cut 7% of its workforce in a bid to save money.
Past company filings place Pandora’s workforce at just under 2200 meaning about 150 people will be affected by the downsizing.
The publicly listed US streaming service released a statement last week saying: “the reduction in force will allow the company to focus and realign existing resources on execution and make further investments in product innovation to drive advertising revenue and subscription growth. The company expects the reduction in force plan to be completed by the end of the first quarter of 2017”.
Meanwhile CEO Tim Westergren added: “2016 was a year of significant investment for Pandora. In 2017, we will manage the business toward full year adjusted EBITDA profitability. While making workforce reductions is always a difficult decision, the commitment to cost discipline will allow us to invest more heavily in product development and monetization and build on the foundations of our strategic investments”. Read more…
Pandora has been busy working on new moves to increase its waning profits. These include going into ticketing and ramping up paid-for streaming efforts. Both of which are really tough markets to crack.
And all of this happening as Pandora braves speculations of a sale and some very drastic share price wobbles.
Hopefully, the idea of easing on costs and making changes will lure in a buyer after all.