Kaito
JAY-Z Sells Majority of TIDAL to Square
JAY-Z is making more power moves.
After selling half of Armand de Brignac to LVMH Moët Hennessy Louis Vuitton, the hip-hop mogul has sold a majority ownership stake in TIDAL to Square, Inc. The mobile payments company expects to pay a mix of cash and stock of $297 million for the streaming music service, it was announced Thursday (March 4).
TIDAL will operate independently within Square, alongside the Seller and Cash App ecosystems. The deal allows Square to extend its platform to musicians by giving them systems, tools, and financial freedom to reach their goals.
“It comes down to one simple idea: finding new ways for artists to support their work,” said Square CEO Jack Dorsey. “New ideas are found at intersections, and we believe there’s a compelling one between music and the economy. I knew TIDAL was something special as soon as I experienced it, and it will continue to be the best home for music, musicians, and culture.”
JAY-Z is expected to join Square’s Board of Directors after the deal closes, while TIDAL’s existing artist shareholders will continue to be co-owners.
“I said from the beginning that TIDAL was about more than just streaming music, and six years later, it has remained a platform that supports artists at every point in their careers,” said Shawn “JAY-Z” Carter. “Artists deserve better tools to assist them in their creative journey. Jack and I have had many discussions about TIDAL’s endless possibilities that have made me even more inspired about its future. This shared vision makes me even more excited to join the Square board.”
JAY-Z also returned to Twitter to celebrate the announcement and share a TIDAL playlist of inspiring songs. “This partnership will be a game-changer for many. I look forward to all this new chapter has to offer!” he added.
This partnership will be a game-changer for many. I look forward to all this new chapter has to offer!
— Mr. Carter (@sc) March 4, 2021
Jack is one of the greatest minds of our times, and our many discussions about TIDAL’s endless possibilities have made me even more inspired about its future. This shared vision makes me even more excited to join the Square board.
— Mr. Carter (@sc) March 4, 2021
I said from the beginning that TIDAL was about more than just streaming music, and six years later, it has remained a platform that supports artists at every point in their careers. Artists deserve better tools to assist them in their creative journey.
— Mr. Carter (@sc) March 4, 2021
Back in December, it was reported that JAY-Z was in talks with Dorsey to sell TIDAL as part of a push for Square to diversify. The moguls were photographed in the Hamptons in August and then again in November in Hawaii.
JAY-Z acquired TIDAL from Swedish company Aspiro in March 2015 for a reported $56 million. TIDAL, which boasts listeners in more than 56 countries, hasn’t reported subscriber figures since 2016 when it had 3 million paying customers.
The Square deal arrives less than two weeks after JAY-Z announced that he would sell 50 percent of his his luxury champagne brand Armand de Brignac aka Ace of Spades to LVMH Moët Hennessy Louis Vuitton.