CEO Daniel Ek says the streaming audio giant is going to be “very diligent” in assessing future investments in podcasting as several of the company’s rich talent deals come up for renewal.
“You’re right in calling out the overpaying and over-investing and I can start off by saying that we’re not going to do that,” Ek said. “We’re going to be very diligent in how we invest in future content deals and the ones that are performing we will renew and the ones that aren’t performing, we’ll obviously look at them on a case by case basis on the relative value. We have very sophisticated tools for measuring impact on the platform.
The podcast business is not yet profitable, though CFO Paul Vogel reiterated his outlook for profitability in the next 12 to 24 months.