"The thing that excites me most about working at Amazon Music? It’s the chance to positively influence the lives of millions of customers around the globe.” That’s Tzu-Chi Wang, a Senior Software Engineer at Amazon Music since 2021. Based in San Francisco, California, Tzu-Chi began his Amazon Music career as a Software Development Engineer in 2018 before quickly moving up the ranks. In his current role, Tzu-Chi helps ensure that every aspect of the subscription experience runs smoothly for members – right from the moment they decide to sign up. “The decisions I make directly influence the customer experience in major ways,” Tzu-Chi says. “It’s a lot of responsibility... but it’s also hugely rewarding." #AmazonMusic #InsideAmazon
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🎲 At Spotify, there is a framework for exploring the relationship between data and uncertainty called DIBB (Data, Insights, Beliefs and Bets). This involves starting with Data and the observable facts; analyze and make sense of the Insights from that data; stating a Belief or hypothesis based on the insight; and finally defining a Bet to pursue and test the belief. Using this model, they were able to figure out that optimizing for mobile users rather than desktop users is the way forward for Spotify music. They actually have a ‘Bets Board’, a kind of Kanban board showing the respective priorities and progress of each bet. 🎲 One of the leadership principle at Amazon is “Have Backbone; Disagree and Commit”. This is to prevent analysis paralysis and the delays in trying to obtain a universal agreement. It is important to commit to a decision and then gather data and eventually figure out to adjust if necessary. Even though one would always like things to be predictable, but this is not often the case especially when it comes developing complex products where we are bound to be facing uncertainty in so many different forms. The above two examples reflect on ways in which uncertainty can be managed. And fundamentally they draw inspiration from the Bayesian thinking or the Bayes rule. Without getting into the probability calculations behind the Bayes rule, its principle can be understood and applied for decision making. The main idea of Bayes rule is that everything has a probability. So instead of thinking in terms of binary (Yes/ No, Pass/Fail), it is valuable to think in terms of probabilities and odds. Then it will be clear that our beliefs are actually not in black and white, but more on a grey scale and we also have levels of confidence in our beliefs ranging between 0 and 100%. The level of confidence fluctuates as we encounter new evidence for and against our beliefs. By default, we are naturally used to the deterministic way of thinking and thereby the need to develop Probabilistic mindset is critical, which can put us at better odds in dealing with Uncertainty. #Uncertainty #odds #bayesian #businessagility
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After 4 incredible years at Spotify, the time has come to say goodbye. I’ll be forever grateful for the chance to work on a seriously cool product and work with amazing people at Spotify. Now, I’m hyped for what comes next: If you're searching for a product leader to tackle complex business problems, I would love to connect and chat! As a product manager, without a dedicated team of engineers, designers, and team leaders, your world-changing ideas are just that – ideas. I had the privilege of working with a remarkable group of people who were fully on board with my ideas (and made them better) and, as an outcome, redefined how labels interact with their music catalog on Spotify. These brilliant people are now also open to new opportunities, so let me “praise them like I should” :) Sarah Salenger is an exceptional Engineering Manager and a strategic thinker who adeptly navigates uncertainty to propel the entire group towards ambitious goals while prioritizing the growth of her team. She is the best EM partner any PM can have. Milen Pavlov is a brilliant engineering lead: he tackles challenges with thoroughness, always offering well-considered solutions. His humble and direct guidance ensured that we built the right thing the right way, and I learned a ton from him over the years. Helen Soh, the team's fastest-growing member, is exceptionally multi-talented. Her sharp intellect and creative problem-solving were a true asset in tackling all the opportunities we had. Tom Allen stands out as the ultimate no-nonsense engineer, a champion of lean software development; he played a crucial role in shipping every MVP we ever worked on in less than a quarter, a significant accomplishment for a company of Spotify's scale. Denise Fernandez's detail-oriented approach makes her invaluable when tackling high-ambiguity, high-value products with complex engineering problems (we had quite a few!); she always has a thorough understanding of business context. A genuinely creative individual, Phoebe Stierhoff excels at tackling problems and is a trailblazer in implementing top front-end practices. Her leadership has been instrumental in adopting a lean approach to develop an outstanding toolset for our users. Alice Xie stands out as an unstoppable force, fearlessly taking on every product challenge we ever had. Her readiness to dive into any problem is matched only by her thorough approach to solving them. Andre Richardson is a creative and thoughtful problem solver, always keen to master new skills. His resilience shined through as he consistently tackled new challenges with enthusiasm and determination. Steven Haskell's unwavering user focus and advocacy have been instrumental in developing a deeper understanding of user problems, allowing us to empathize and truly step into the users' shoes that helped the engineers always build the right thing. I envy future PMs who will work with these rockstars!
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Since it started in 2006, #Spotify has made a loss every year, except in 2021. Yet, shareholders have high expectations and value the company at nearly $40bn. What is happening? Some investors hope for “Amazon-like” economics, in which money is burned for a long time until the competition is gone, and you can charge what you want. But the source of profit of the Amazon Marketplace #platform is that it earns money by facilitating other businesses, which pay for this service. Spotify is not a platform but a classical distribution channel for the music industry. It pays its suppliers, the record companies who own music. The major record companies (Sony, Universal and Warner) ask huge license fees from Spotify for the music they supply. These fees grow with the number of users. This is a gaping hole in the road to profitability that may be impossible to cross for Spotify. Spotify generated a profit in Q3 of 2022, not by decreasing its variable licensing cost, but by laying off people. In the long run, reducing fixed costs cannot offset rising variable costs. This is not a problem for some deep-pocketed competitors. Apple Music does not need to make a profit as it exists to create demand for Apple gadgets, which have comfortable margins. Amazon Music does not need to be profitable either, as it exists to attract consumers to the Prime program, where they spend twice what non-Prime customers spend. And TikTok, the new kid on the block, earns money from other people’s creative effort made freely available, and does experience Amazon-like platform economics. If you want to invest in Spotify, understand its #ecosystem first. Want to gain more insights into ecosystem strategy and the platform economy? Don't miss the opportunity to join The Value Engineers' #conference on February 14. Discover more here: https://lnkd.in/eAmQC-yQ. Registration is possible before February 1. For teachers in higher education, there is a bonus: access to tested #teaching material on ecosystem strategy, business modeling, and the platform economy. #businesecosystem #businessmodel #ecosystemstrategy #teachingresources Gerard Wijers Sander Teekens Paul Timmers Hans Blaauw Timber Haaker Jaap Gordijn Iris Zeeman Alex Bausch
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Proven HR Business Partner Focused on Employee Lifecycle Management and Organizational Development | SHRM-CP, SPHRi, GMS-T, MBA-HR
Spotify's not too happy with Apple right now, calling them out for what they label as "extortion" due to Apple's latest move in the App Store game. Here's the gist of the drama: The New Fee - What's Up: Apple's rolling out a new fee, named the "Core Technology Fee," which seems to be their way of nodding to new EU tech rules. - The Cost: It's going to cost developers €0.50 for each app installation after the first million downloads. - Spotify's Beef: Spotify says this is going to hit developers hard, especially those offering free apps. They're miffed because, apparently, the fee applies even if someone downloads an app and never uses it. The Commission Issue - Another Slice: On top of the new fee, Apple's keeping a 17% commission on sales through third-party payment systems. - The Dilemma: Spotify feels this makes it super tough for developers to decide whether to stick with Apple's store or venture out. Spotify's Situation - Stuck in a Hard Place: Daniel Ek, Spotify's CEO, says these new rules could make their costs for getting new users soar, maybe even by tenfold. They're in a tight spot because these fees could mess with their profitability. - The EU Scene: Spotify was planning to introduce its own payment system in the EU, but now they're not so sure it's going to work out. Apple's Response - Playing It Cool: Apple's spokesperson, Fred Sainz, insists they're all about supporting developers, including Spotify. They say the new setup offers choices, like new ways to distribute apps and handle payments. - The Majority's Benefit: According to Apple, more than 99% of developers will end up paying the same or even less under the new system. The Bigger Picture - Developers' Frustration: It's not just Spotify. Many developers, big and small, are feeling the heat from these new fees. - EU's Watchful Eye: The EU Commission is keeping an eye on this and plans to respond once the new regulations are officially in play in March. So, it's a bit of a tussle, with Spotify calling out Apple for squeezing developers, while Apple is like, "We're just giving you options." The EU's waiting in the wings, ready to weigh in. Stay tuned! #SpotifyVsApple #AppStoreBattle #CoreTechnologyFee #EURegulations #DeveloperDilemma #AppleCommission #TechTussle #AppStoreFees #TechPolicyDebate #DigitalMarketplace #DeveloperChallenges #TechIndustryTrends #AppEconomy
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Mixed Methods Research & Insights Lead | Ex-Spotify | Former Professor | I tell data-driven stories about humans to drive business impact
Along with ~1500+ other amazing humans, last Monday was my last day at #spotify. Needless to say, this past week has been a roller coaster of emotions. And while ink will probably be spilled about said emotions by others more articulate than me, I do want to focus on one particular emotion here — gratitude. Over 4 years ago, I remember excitedly clipping my badge to my pants (so dorky, I know), braving the brisk Boston morning commute, and checking into the brand new Spotify Boston office. As a former academic, I had no business entering the wild world of Tech! But nonetheless, there I was. Over the next year I got a crash course in translating research into product impact. I applied my mixed-method social science training towards studying how people used personalized listening experiences. I talked to people from around the world about the role that music played in their lives. I learned so much about ML and recommendations systems. I built a foundational understanding of users expectations of music recommendations, shaping years of product strategy for the entire org. I had a hand in shipping real experiences to end users - Smart Shuffle, Enhance, AI DJ, Daylist, Your Spotify Mixes, to name a few - not to mention continuous improvement of the entire portfolio of personalized playlists on Spotify. 🎶 2 years in, I was given the opportunity to enter management. I, yet again, had no idea what I was doing, and this launched one of the greatest periods of professional growth in my career. I grew a team - from 2 data scientists, to a multi-disciplinary team of 5. I hired, coached, and promoted. I worked alongside some of the best product and engineering thought partners I could have asked for, co-leading an organization. I scoped multi-discipline research programs that aligned with, and future-proofed, our product strategy. I got to work with some the kindest, smartest, and most inspiring people I’ve ever known, from, not just my own org, but all over the company. It was an exhilarating challenge, and has formed the foundation of my management and leadership philosophy. While my growth at Spotify has unfortunately been cut short, I am so grateful for these learnings, experiences, and relationships, which are mine to keep no matter what. A big, sincere thank you for those of you who have reached out to me - your support has been so meaningful, and I will deeply miss being able to work with you. ❤️ Please keep in touch! Looking forward, this holiday season will find me resting, spending time with my family, and preparing for next steps. If you, or anyone you know, want to talk about how my experience and skillset can help your org, please reach out! I am excited to see where my growth and learning will take me next. #spotify #layoffs2023 #uxresearch #insights
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Customer Experience & Product Leadership | UX Monitoring & Measurement | B2B E-Commerce & Online Marketplaces
Check out this insightful article on Spotify's product operating model by Joakim Sundén, which draws from principles and practices espoused by Marty Cagan and the Silicon Valley Product Group. In the article, Sundén dives into the three key components that make up Spotify's product model: product strategy, product discovery, and product delivery. Product strategy is ultimately about prioritization - identifying the most important problems to solve based on insights from research and analysis and maintaining a clear focus, saying no to other potential opportunities, to increase the likelihood of success. Product discovery is about mitigating risks inherent in the product (value, viability, usability, and feasibility) and finding solutions to the problem that are worth building. This is highly collaborative work. Well-designed experiments and feedback loops help the team build confidence. Finally, if product discovery is about “building the right thing,” product delivery is about “building it right.” For Spotify, this meant investments in critical infrastructure to support proper observability, testing, and deployment; these investments helped to enable and ensure teams were empowered and set up to deliver outcomes not just outputs. Sundén highlights how Spotify's approach encourages autonomy and cross-functional collaboration, empowering teams to take ownership and make data-driven decisions. With a focus on experimentation, continuous learning, and user-centricity, Spotify has been able to drive innovation and deliver exceptional products to its users. 🚀
Spotify is an exceptional company, the best I've ever worked for. When I left the company after more than six years, I wanted to help other companies become more like Spotify. However, I didn’t believe companies could merely copy the organizational structures of tribes, chapters, and squads that have come to be known as “the Spotify model”, but I wanted to explain what really set Spotify apart. With this objective in mind the course “Agile at Scale, Inspired by Spotify” was born (in collaboration with Crisp AB colleague Jimmy Janlén). The central theme of the course revolved around the concept of the Autonomous Squad and described how Spotify and its leaders foster and support this autonomy. The practices in Marty Cagan's book, "Inspired", had significantly influenced Spotify’s operating model. So, when he began discussing Empowered Product Teams, it echoed precisely what we meant with “autonomous squad”. I soon began incorporating that terminology and drew heavily from Marty’s and SVPG’s insightful explanations of the idea. When the book "Empowered" came out, I was astounded by how closely it articulated my experiences at Spotify. And now they’ve given me even better concepts to explain the real Spotify model through the definition of “product operating model” and how that model is different from what most companies are doing. When Marty visited Stockholm and Crisp this fall to run his new "Transformed" workshop, where he explained the model and its concepts, it became evident to me that Spotify's model is a product operating model — or more accurately, is a variant of it. Marty proposed that we co-author an article to illustrate this parallel and this is the result. (The article has also been published with Marty's Notes on Silicon Valley Product Group's site.) I have also made major changes to my "Spotify course" to incorporate more of the product operating model and how to transform to such a model. The new version premieres November 27-29 (remote) and December 4-5 (Stockholm). https://lnkd.in/gGYHkMAC
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From ‘Year in Review’ to ‘Discover weekly’ to drive user engagement. Empowering product teams to experiment, innovate, and giving flexibility to come up with great ideas. Great insights in the article throughout! “Their optimism was bolstered by a recent hack week project, called Play It Forward, that was an add on to Spotify’s popular Year In Music (now known as Wrapped), a feature that provided a summary of the user’s year on Spotify. Play It Forward analyzed the users’ listening history, using the same algorithm as Discover, to create a playlist of music you had not yet listened to on Spotify, but that you probably would like. The playlist was presented to users at the conclusion of their Year In Music review. Months later, the engineers were astonished to find that millions of users remained engaged with it. This sparked a thought: what if we could create a playlist like this, and just update it more frequently? This was the seed of the idea that would become known as Discover Weekly. “
Spotify is an exceptional company, the best I've ever worked for. When I left the company after more than six years, I wanted to help other companies become more like Spotify. However, I didn’t believe companies could merely copy the organizational structures of tribes, chapters, and squads that have come to be known as “the Spotify model”, but I wanted to explain what really set Spotify apart. With this objective in mind the course “Agile at Scale, Inspired by Spotify” was born (in collaboration with Crisp AB colleague Jimmy Janlén). The central theme of the course revolved around the concept of the Autonomous Squad and described how Spotify and its leaders foster and support this autonomy. The practices in Marty Cagan's book, "Inspired", had significantly influenced Spotify’s operating model. So, when he began discussing Empowered Product Teams, it echoed precisely what we meant with “autonomous squad”. I soon began incorporating that terminology and drew heavily from Marty’s and SVPG’s insightful explanations of the idea. When the book "Empowered" came out, I was astounded by how closely it articulated my experiences at Spotify. And now they’ve given me even better concepts to explain the real Spotify model through the definition of “product operating model” and how that model is different from what most companies are doing. When Marty visited Stockholm and Crisp this fall to run his new "Transformed" workshop, where he explained the model and its concepts, it became evident to me that Spotify's model is a product operating model — or more accurately, is a variant of it. Marty proposed that we co-author an article to illustrate this parallel and this is the result. (The article has also been published with Marty's Notes on Silicon Valley Product Group's site.) I have also made major changes to my "Spotify course" to incorporate more of the product operating model and how to transform to such a model. The new version premieres November 27-29 (remote) and December 4-5 (Stockholm). https://lnkd.in/gGYHkMAC
The Product Model at Spotify
https://joakimsunden.com
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In the latest round of the Big #tech bout, Apple Inc is on the brink of an #eu antitrust order, putting its App Store rules under scrutiny in a clash with music-streaming giant Spotify. EU regulators are finalizing a decision to curb Apple’s practice of blocking music services from diverting users to alternative subscription options, potentially accompanied by a hefty fine, reaching up to 10% of Apple’s annual sales. The ruling, expected early next year, stems from a complaint by Spotify, alleging Apple’s stranglehold on #app Store operations led to increased subscription prices. The European Commission, led by Margrethe Vestager, is tightening the reins on App Store rules, addressing concerns raised by Spotify nearly four years ago. The focus is on Apple’s anti-steering rules, deemed unnecessary and potentially inflating costs for #users . Meanwhile, Apple is in talks to settle another case related to tap-to-pay #technology control. As the EU intensifies its scrutiny of tech giants, the looming decision and potential penalties signal a push to level the playing field and rein in the power of dominant platforms. Stay tuned for the next chapter in the EU’s tech crackdown saga! #DigitalPakistan #TechUpdates
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APPLE & SPOTIFY 1. Spotify criticizes Apple's new EU regulation compliance plan, labeling it as "extortion" and a "complete and total farce," especially regarding the app installation fee. 2. Apple's Core Technology Fee requires developers to pay €0.50 for each app install after 1 million downloads, which Spotify argues will significantly harm developers, particularly those offering free apps. 3. Spotify highlights Apple's continued 17% commission on transactions via third-party payment processors, claiming it makes choosing between the status quo and the new program difficult. 4. Spotify CEO Daniel Ek expresses concern over the potential tenfold increase in customer acquisition costs due to the new fees, making it unaffordable for Spotify to remain profitable. 5. Apple, in response, states the changes offer developers, including Spotify, more choice and flexibility, with over 99% of developers likely to pay the same or less under the new terms. Join AdTechGod Slack Community: https://lnkd.in/gmHXbXZt 📖 https://lnkd.in/gmx9txJa
Spotify accuses Apple of ‘extortion’ with new App Store tax
theverge.com
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Hey Nacew Community! How has your week been so far? As we gear up for the weekend, let's dive into our 8th newsletter highlights: 1.Evernote's Strategic Shift: Starting December 4th, Evernote is limiting free users to 50 notes and one notebook. Explore the impact on heavy users and the company's post-acquisition changes. 2. Spotify Wrapped 2023: Experience enhanced personalization with AI DJ and Blend. Dive into features like "Me in 2023" and "Sound Town," bringing a dynamic touch to the year-end review. 3. Amazon's Q in Action: Amazon introduces 'Q,' an AI chatbot for IT, software, and customer service professionals. Learn about its skills, adoption by companies like BMW and Accenture, and its focus on security and privacy. 4. Apple's Notch-Free Patent: Apple secures a patent proposing to eliminate the iPhone notch using "transparent windows." Imagine a notch-free future and its potential impact on various electronic devices. Read more at www.nacew.com/media/62 and share your thoughts! #WeekInReview #TechUpdates #NewsletterInsights
Read the latest updates from Evernote, Spotify, Amazon and Apple | Nacew
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