SoundCloud, an audio streaming platform has reportedly laid off around 8 per cent of its workforce. The move was taken to seek profitability amid global macroeconomic conditions. The decision mainly affected the employees based and working in the US. As per the Billboard report, citing a representative from SoundCloud, the company said that it would seek further investors for the audio streaming service.
SoundCloud CEO Eliah Seton said in a meeting with employees that layoffs are being made "in order to help the company turn a profit".
"Everyone whose job is impacted by this change will receive an invitation to meet with the People Team and their manager," Seton said in a memo.
He took accountability for this decision, saying "this is a challenging but essential decision to ensure the health of our business and get SoundCloud to profitability this year."
In August last year, SoundCloud announced to cut 20 per cent of its workforce "given the challenging economic climate and financial market headwinds".
Then SoundCloud CEO Michael Weissman wrote in an email that making changes that affect people is incredibly hard.
"But it is one that is necessary given the challenging economic climate and financial market headwinds," he added.
In 2017, SoundCloud fired about 40 per cent of its workforce for the company's "long-term, independent success".
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