Daniel Ek to Step Down as Spotify CEO, Shifts Focus to European Tech “Moonshots”

Spotify co-founder Daniel Ek, who transformed the music industry with the launch of the streaming giant in 2006, has announced he will step down as CEO next year. At just 23, Ek disrupted an industry plagued by piracy and declining sales by betting on streaming over downloads. His vision helped Spotify grow into a $140 billion powerhouse with nearly 750 million users worldwide.

Ek will transition to executive chair, saying this move allows him to pursue new ventures beyond music. Through his venture capital firm Prima Materia, he has pledged €1 billion ($1.18 billion) of his personal wealth to invest in European “moonshot” projects, focusing on deep tech, AI, climate innovation, and health technology.

One such project is Neko Health, a preventive healthcare startup he co-founded in 2018, which has raised $325 million to date. Ek has also invested in Helsing, Europe’s largest defense startup, valued at $12 billion. Helsing develops AI-driven defense systems used primarily to support Ukraine against Russian aggression. However, this move has sparked backlash. Prominent bands including Massive Attack and King Gizzard & the Lizard Wizard pulled their music from Spotify in protest, arguing that “music and weapons are not a good mix.”

Despite criticism—from artist pay disputes to controversies around exclusive podcast deals—Ek is credited with reshaping how people consume music. Spotify pioneered subscription pricing, algorithmic playlists that influence global music culture, and an expansion into podcasts and audiobooks. Today, Spotify is considered more utility than luxury, deeply embedded in daily digital habits.

Ek describes himself as an optimist and problem-solver. “Big challenges often appear impossible until someone tackles them,” he told Reuters. While his next ventures lie in building Europe’s next generation of tech companies, his legacy at Spotify remains: making music accessible, legal, and central to modern digital life.