10:29 AM EDT, 09/30/2025 (MT Newswires) -- Spotify Technology ( SPOT ) said Tuesday that it appointed co-chief executives of the audio streaming company, replacing Daniel Ek, who would become executive chairman.

Chief Product and Technology Officer Gustav Soderstrom and Chief Business Officer Alex Norstrom will assume their new co-CEO role, effective Jan. 1.

"While we bring different experiences and perspectives to the CEO role, we both have a strong bias to action and can't wait to get started knowing that we will have Daniel's full partnership and ongoing support," Soderstrom and Norstrom said jointly in a statement.

Spotify's ( SPOT ) shares declined 4.9% in Tuesday trade, but the stock is up 55% so far this year.

Ek's new role will "more closely reflect a European chairman setup," Spotify ( SPOT ) said. He will be responsible for the company's capital allocation and its long-term path.

"Over the last few years, I've turned over a large part of the day-to-day management and strategic direction of Spotify ( SPOT ) to Alex and Gustav - who have shaped the company from our earliest days and are now more than ready to guide our next phase," Ek said in the statement. "This change simply matches titles to how we already operate."

Near the end of July, Spotify ( SPOT ) reported an unexpected second-quarter loss as revenue fell short of market estimates. At the time, the company said it anticipated revenue of 4.2 billion euros ($4.93 billion) for the third quarter. The current consensus on FactSet is for 4.25 billion euros.

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