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Amazon cuts jobs in music streaming unit

Published 11/08/2023, 01:48 PM
Updated 11/08/2023, 02:11 PM
© Reuters. FILE PHOTO: The logo of Amazon is seen on the door of an Amazon Books retail store in New York City, U.S., February 14, 2019. REUTERS/Brendan McDermid/File Photo
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By Greg Bensinger

(Reuters) -Amazon.com has begun cutting jobs in its Music division, the company said on Wednesday, confirming the latest of several rounds of layoffs over the past year that have affected more than 27,000 employees of the retail giant.

Employees in Latin America, North America and Europe received notices that their jobs had been eliminated Wednesday, according to people familiar with the matter. An Amazon (NASDAQ:AMZN) spokesperson confirmed the layoff after being contacted by Reuters. She declined to say how many employees were impacted.

“We have been closely monitoring our organizational needs and prioritizing what matters most to customers and the long-term health of our businesses,” she said in a statement. “Some roles have been eliminated on the Amazon Music team. We will continue to invest in Amazon Music.”

No mass layoff filings had recently been made in Washington state, where Amazon is based, California or New York, among the largest employee centers for the company, according to a review of Worker Adjustment and Retraining Notification sites.

The cuts come even as Amazon reported third-quarter net income that far exceeded analyst estimates and forecast revenue in the year’s final quarter roughly in line with expectations. The fourth quarter is Amazon’s most crucial, as it in includes holiday shopping.

© Reuters. FILE PHOTO: The logo of Amazon is seen on the door of an Amazon Books retail store in New York City, U.S., February 14, 2019. REUTERS/Brendan McDermid/File Photo

Amazon has been quietly trimming jobs, including communications staff in its Studios, Video and Music divisions last month.

Amazon Music, which also includes podcasts, competes with Spotify (NYSE:SPOT), Pandora (OTC:PANDY), Alphabet’s (NASDAQ:GOOGL) Google and Apple (NASDAQ:AAPL) in offering unlimited music streaming services for a fee. It raised the monthly subscription price earlier this year by a dollar to $10.99.

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