Martin Lorentzon, one of the co-founders of market-leading streaming service Spotify, is stepping down as the company's chairman, Billboard has confirmed. Daniel Ek, the public face and CEO of the company, will be adding Lorentzon's title to his own, while Lorentzon will remain on the board of directors. The news was first reported by Music Business Worldwide.
The exiting exec posted to Twitter (in Swedish) early this morning saying he would have a "vice chairman" role, and plans to spend the next ten years side-by-side with his co-founder.
Spotify is prepping for an IPO -- the terms of a billion dollar credit line the company secured earlier this year all but requires it make that initial offering by the third quarter of next year -- which may have something to do with Ek's title consolidation. Image counts for a lot on Wall Street, especially just months ahead of that first bell and the falling balloons. The departure of Chief Revenue Officer Jeff Levick in September was likely not ideal, though the new subscriber numbers Ek released alongside that news helped perception plenty.
One thing is for sure, before that IPO: they'll need to have content deals in place.