Spotify forecasts weak profit as user growth slows in North America, Europe

Spotify forecast third-quarter profit below Wall Street estimates on Tuesday, after the streaming giant reported slowing user growth in major markets of Europe and North America, driving shares nearly 4% lower in premarket trading.

The company has launched AI features like “Personal Podcasts” and new offerings such as “Reserved” to ‌attract more users ⁠and ⁠fend off competition from rivals including YouTube and Netflix, and AI music startups like Udio and Suno.