Chairman/CEO Lucian Grainge said the social media app is just one piece "of the multidisciplinary jigsaw where we promote and market our music globally."
In an earnings call today, UMG said the cuts would result in 250 million euros ($271 million) in savings by the end of 2026. The number of people affected was not disclosed.
Developing artists distributed through Universal and Virgin are relying on workaround measures and "tricks" to keep using the platform.
The new app, which Kyncl says will roll out later this year, was announced at the Web Summit conference in Qatar this week.
One of the division's first projects is a docuseries centered around Grammy-nominated duo The War and Treaty.
Chair/CEO Julie Greenwald said the layoffs will be "primarily happening in our radio and video teams," adding that new hires will come on in digital and social media roles.
Pepito y Paquito, an album featuring 21 previously unreleased tracks by the Spanish guitarist and his brother Pepe, will be released in May 2024.
The company, home to artists like Rema and Ayra Starr, is at the forefront of Africa's Afrobeats movement, which has been exploding across the globe.
The India-based singer, actress and dancer is a "cross-cultural superstar," says WMG CEO Robert Kyncl.
The live-stream shopping platform acquires the media company from Buzzfeed, which acquired Complex in 2021.
