If a recent Bloomberg report proves true, Square, a digital payment platform led by Jack Dorsey of Twitter, may buy Jay-Z’s premium music streaming service Tidal. Dorsey has met with Jay-Z at least twice in the past several months, and although the substance of those conversations was not public, one source claims that Dorsey is interested in diversifying the Square’s holdings by grabbing the Tidal .
Jay-Z acquired a majority stake in Tidal for itself in 2015 for $ 56 billion, but it is not known if the potential is in the same neighborhood as the Square deal, which is still in the early negotiation stages and not It can happen at all. In 2014 Tidal was launched to Spotify as another artist and audiophile-friendly streaming, and it did some impressive exclusive deals at one time, making it the only place to stream catalogs of artists like Prince (Who released a pair of tidal-exclusive projects for the stage toward the end of their lives) and Jay-Z himself, but most if not all of those originals and exclusions have now made their way to other streaming services. When the Jay-Z and Prince catalogs ended up back on Spotify and elsewhere, some industry analysts questioned whether this could be a bad sign for the future of the tide, and the company itself spent much of its user data In 2016, it returned 3 million subscribers because it had a disclosure.
Whatever Tidal’s health as a company, it could still make an attractive prospect for Dorsey and Square, as it allegedly envisioned building the company into a very large corporate brand for various products and services. Huh. A music streaming service like Tide may be a good way to grow the Square brand, even if the service does not have the popularity of competitors like Spotify and Apple Music (which of course can always change).
In addition to Jay-Z, Tidal has plenty of other notable artists with bets, including Arcade Fire, Alicia Keys, and even several others with Def Punk, who are listed on the service website ” As artist-owners “. But it is not known what their actual roles within the company are now, or whether they may have any input that there is a possible deal between Tidal and Square.