Amazon has begun cutting jobs in its music streaming division in an effort to reduce company expenses, people close to the matter told Bloomberg. The cuts, which began in October, are reportedly focused in Amazon Music’s editorial and audio content team, but it’s not known how many jobs were impacted.
Reports said employees in North America, Europe, and Latin America received layoff notices last week. These job cuts follow last year’s massive layoffs, which impacted 27,000 employees. Communications staff in Studio, Video, and Music divisions have also seen cuts.
“Like many businesses, we have been closely monitoring our organizational needs and prioritizing what matters most to customers and the long-term health of our businesses,” an Amazon spokesperson told Bloomberg. “As a result, some roles have been eliminated on the Amazon Music team.”
This latest move from Amazon could signal that the e-commerce giant plans to put more resources into its video streaming service, Prime Video. With live sports streaming becoming a popular and effective way to draw in viewers and advertisers, more companies are expanding investments into their platforms’ sports tiers.
“[P]rime Video continues to be an integral part of the Prime value proposition,” Amazon CEO Andy Jassy said during the company’s third quarter earnings call.
Amazon has seen particular success with its Thursday Night Football package, which has drawn in almost 13 million viewers — a 25% boost from last year’s numbers. The company has already brought several new features to the stream like HDR, Key Plays, Rapid Recap, and X-Ray.
“We will continue to invest in Amazon Music and spend our resources on the products and services that matter most to customers, creators, and artists,” the spokesperson said.
Amazon offers Prime Music, which is included with an Amazon Prime subscription — $14.99 a month — and Amazon Music Unlimited which costs an extra $8.99 with a Prime subscription. You can also subscribe to Amazon Music Unlimited without a Prime subscription for $10.99 a month.
Amazon wasn’t immediately available for further comment.