Spotify has recently invested heavily in the podcast industry, as the company has acquired several studios in recent years. However, for some reason Spotify is now shutting down its original podcast studio known as Studio 4.
As reported by The edge On Tuesday, Spotify announced to employees working at Studio 4 that it would be closed after January 21. Spotify produces original shows like Dissect and Chapo: Kingpin on Trial in Studio 4. Although this studio is not the only podcast studio owned by the company, it was the first in-house studio created prior to major studio acquisitions.
According to the report, affected employees were surprised by the announcement. Some of them were reassigned to other positions, while others were let go with the option of applying for another job at Spotify.
The company declined to comment on why it is closing Studio 4, but said in an internal memo that the decision was made to help the company “move faster and make more meaningful progress and facilitate a collaborative more effective within our organization”. One of the employees said the news was “insulting” to those who work there.
Other employees complain that Spotify treated Studio 4 as a “trash drawer” for projects that didn’t fit with other studios the company acquired.
It’s unclear exactly what will happen to all of the Spotify shows produced at Studio 4, but it looks like not all of them will be removed. The official Twitter account for the Dissect podcast said the podcast was not canceled and the show would continue as usual on Spotify.
Last year, Spotify announced paid podcast subscriptions following the introduction of Apple Podcasts subscriptions. Spotify’s podcast platform has also overtaken Apple’s podcasts in the number of listeners in the United States. Of course, the company will continue to produce original podcasts through the other acquired studios.
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