[baby-yoda]

Broadly speaking, my opinion is alot of businesses are getting the feeling that the next 6-12 months are going to be bad. Layoffs, decreased consumer spending, rates continuing to rise, banks tightening with lending, ad spending dries up. A vicious cycle is starting to accelerate. Some companies are just going to follow the trend, sure, but I just think there is probably alot of internal data suggesting a slowdown and its too much to ignore.

Spotify in particular, their revenue is Ads and subscriptions. Consumers can very easily cut a streaming subscription if money starts to dry up, same with companies purchasing ad space. They do have lots of cash on hand so I don't think they are anywhere near risk of going bankrupt. I'm curious to see their earnings release next week and any changes in cash flow.

Another thing to consider is the opportunity cost of spending 90 million, there might be other internal priorities in the short term like acquisitions or paying down debt that supersede any potential "brain drain". Not to downplay the layoffs of course but the dynamic of competing priorities and larger headwinds is just difficult to navigate.