At any point of the digital transition,…
The purchase of music listening service provider Tidal has been arranged by Twitter CEO Jack Dorsey’s digital payment company Square, according to individuals familiar with the matter. This move is also part of a diversification plan for Square. Dorsey has addressed this future contract with rapper Jay-Z, according to the person familiar with the matter, though there is no assurance that the deal will be reached. For $56 million, Jay-Z purchased Tidal in early 2015.
Tidal opened in 2014 for the first time and has worked tirelessly to catch up with other streaming platforms, including Spotify and Apple Music. Obviously, the trademark of the website has always been Jay-own Z’s songs. But he did place his songs back on Spotify last year, which raised concerns about the activities of Tidal.
Tidal said it had 3 million paid clients in 2016. The number has not been announced by Tidal since then.
At the same time, Dorsey has an aggressive strategy to develop Square of independent and complementary services into a diversified business. Actually, under Square, Square’s two main products, Square Sale and Cash App, are run separately, and each product has its own executive team chief.
Dorsey was pictured walking with Jay-Z and his partner, Beyoncé, in August of this year. Dorsey had a vacation on a Hawaiian beach in December with the Jay-Z couple and actor Sean Penn.
Its shareholders include more than 20 well-known artists, including Beyoncé, Alicia Keys, Coldplay, Madonna and Rihanna, according to details on the Tidal website. Its offerings span 53 countries, with over 60 million songs and 250,000 videos being delivered.