Stockholm, Sweden – September 30, 2025 – In a significant leadership evolution for the world’s largest audio streaming platform, Daniel Ek, the co-founder and long-time CEO of Spotify, announced today he will transition to the role of Executive Chairman effective January 1, 2026. Taking the helm as co-Chief Executive Officers will be Gustav Söderström, currently Chief Product & Technology Officer, and Alex Norström, Chief Business Officer. This move formalizes a leadership structure that has been in place since 2023, signaling a new era for the music streaming giant.
A New Leadership Cadence
Daniel Ek, who has led Spotify for nearly two decades since its founding in 2006, will shift his focus to long-term strategy, capital allocation, and providing guidance to the senior team in his capacity as Executive Chairman. This transition allows Ek, who describes his tenure as a series of “missions,” to move from a direct operational role to one of strategic stewardship, akin to a European Chairman setup. The appointment of Söderström and Norström as co-CEOs reflects their extensive experience and instrumental roles in shaping Spotify’s success over more than fifteen years with the company. Both executives have been co-Presidents since 2023, largely steering strategic development and operational execution, and will now officially assume the co-CEO titles, reporting directly to Ek. This leadership change comes as Spotify continues to navigate a dynamic market, boasting over 700 million users globally and expanding beyond music to podcasts and audiobooks.
Background and Artist Relations Under Scrutiny
The announcement follows a period of considerable public debate and artist backlash concerning Ek’s personal investments. In June 2025, Ek’s venture capital firm, Prima Materia, led a substantial €600 million investment round in Helsing, a German defense technology company specializing in artificial intelligence for military applications. This investment, which saw Ek also serve as chairman of Helsing, drew sharp criticism from numerous artists and industry observers. Many musicians expressed ethical concerns, arguing that their work on the platform indirectly funds technologies used in warfare. Bands like Deerhoof, Xiu Xiu, and Massive Attack were among those who removed their music from Spotify in protest, highlighting a growing tension between the platform’s business interests and the values of its creative community. This controversy has reignited long-standing discussions about Spotify’s artist royalty payouts, which critics argue are insufficient, and the broader ethical implications of where artist revenues are being channeled.
Spotify’s Evolving Landscape
Spotify has transformed the music industry, growing recorded music revenues significantly since 2011 and solidifying its position as the dominant streaming service. Financially, the company has shown resilience, with Q1 2025 reporting strong revenue growth and a record high operating income, though earlier in 2025, it experienced a net loss in Q2. Despite financial successes and an expanding user base, Spotify faces ongoing challenges. These include intense competition from major tech players like Apple Music and Amazon Music, the rise of AI-generated music and its implications for copyright and authenticity, and persistent criticism over its royalty distribution models. The company has been actively removing AI-generated “spammy” tracks to combat misuse.
Charting the Future
With Ek stepping into an executive chairman role, Spotify’s strategic direction remains firmly in his purview, particularly in areas of long-term planning and capital allocation. The co-CEO model, adopted by other tech giants, is expected to leverage Söderström’s product and technology expertise alongside Norström’s business acumen to drive the company forward. For artists and the wider music ecosystem, the success of this new leadership will hinge on their ability to address the ongoing concerns about compensation and ethical investments, thereby rebuilding trust. As new releases continue to populate the trending charts, Spotify’s journey under its new leadership promises to be closely watched, aiming to balance innovation with artist relations in the ever-evolving music news landscape.
Key Figures in the Transition:
* Daniel Ek: Co-founder and outgoing CEO, transitioning to Executive Chairman.
* Gustav Söderström: Appointed Co-CEO, formerly Co-President and Chief Product & Technology Officer.
* Alex Norström: Appointed Co-CEO, formerly Co-President and Chief Business Officer.
This leadership shift marks a pivotal moment for Spotify, aiming to build on its success while navigating complex industry dynamics and artist concerns.
