Rhapsody cuts 15 percent of staff; CEO resigns
SEATTLE (AP) — Music streaming service Rhapsody on Monday laid off 15 percent of its staff and said its president, Jon Irwin, is stepping down. The company also announced investment firm Columbus Nova Technology Partners has become a major shareholder.
The company also said it had hired Ethan Rudin, a former Starbucks strategy executive, as Rhapsody's chief financial officer, replacing Adi Dehejia.
While it looks for a new CEO, the company will be run by a committee of Rhapsody executives.
Activity in the digital music space has been frenetic. On Monday, streaming service Rdio announced that radio station owner heavyweight Cumulus Media Inc. had taken a minority stake.
Pandora Media Inc. also said Monday it would raise up to $279.4 million in a share offering, days after announcing a new CEO, Brian McAndrews.