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Soundcloud to close offices in London and San Francisco, slashes global staff by 40%

06 July 2017, 16:41 | Written by Laurence Day

Streaming giant Soundcloud will be shuttering its offices in the UK and San Francisco, with 40% of its global workforce being axed.

The German company will now focus on New York City and Berlin offices.

Alex Ljung, Soundcloud's CEO and co-founder, revealed the news in a blog post on Soundcloud - he also claims that company have doubled their revenue in just on year, but he has neglected to provide specifics on losses. In January Ljung said that the company could be out of money by the end of the year.

Also in January Soundcloud posted worrying financial figures, with losses swelling almost 31% to over $50 million. Spotify and Google were rumoured to be mulling over bids, but interest has since cooled.

Soundcloud, which has approximately 175 million users, has made a number of big changes in recent years in a bid to become profitable - the paid tier, Bloomberg note, "hasn’t been as successful as executives hoped."

In recent months there has been talk of Deezer acquiring the floundering service - although if they do, they'll do so for considerably less than the ridiculous $1 billion self-valuation.

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