Spotify springs bloody leak as losses grow to $197m – report

Blames investment in staff, products and expansion plan

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Spotify's net losses jumped significantly in 2014 to $197m from $68m a year earlier, it has been reported.

The Stockholm, Sweden-based music streaming service blamed hole in finances on international expansion, recruiting more staff and product development.

According to the New York Times, which cited documents filed in Luxembourg on Friday by Spotify, the company's employee headcount grew to 1,354 last year when it hired a further 396 people.

Sales at the firm also climbed to $1.3bn, up 45 per cent from 2013.

In January, Spotify said its global subscriber base had grown to 15 million – but those paying users generated very little revenue for artists.

Popstar Taylor Swift yanked her music from the streaming service late last year in a row over her "art" being made available for free to Spotify's users. ®

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