Music streaming service Spotify will lay off 17% of its workforce, according to an internal memo from CEO Daniel ECK, which amounts to roughly 1,500 people being let go. ECK said Spotify invested too heavily in 2020-2021 when capital was cheap, and has to "rightsize costs" for a new economic reality with slower growth and more expensive capital. Spotify reported a €65 million profit ($70.7 million) in the third quarter, citing lower spend on marketing and personnel. However, Ek said the cost structure is still too big given the economic challenges. Ek said Spotify needs to become more efficient and "relentlessly resourceful" in how it operates.