Twitter & Square CEO, Jack Dorsey, could be the future owners of Tidal.
American Financial Services Company Square wants to buy Jay-Z’s Tidal, according to Bloomberg news. Square, owned by Jack Dorsey, who is the owner and founder of Twitter, has discussed acquiring the streaming platform as it struggles to keep up with its competitor, Spotify.
Jay-Z bought Tidal in 2015 for $56 million. The company might be worth twice as much, and Square or Dorsey wants to broaden his stake in the multimedia world. However, according to Bloomberg’s source, the talks with Jay-Z and Square have been private and might not result in a sale.
Tidal has been struggling to keep up with other streaming services, including Spotify Technology SA and Apple Music. Jay-Z had put his music on Tidal, but he also put his songs back on Spotify in 2019 – possibly because he was not experiencing the streaming numbers as he would from Spotify.
At its last public report, Tidal said it 3 million paying customers in 2016. The platform also hosts around 24 high-profile artistes such as Rihanna, Beyonce, Alicia Keys, Madonna, Cold Play, Damian Marley and others. Its service is available in 53 countries and offers more than 60 million songs and videos.
On the other hand, Square, which is now becoming known, has seen its stock price going up 270% in 2020. Its current stock price is $230.77 as of Dec 24, 2020.
The owner, Dorsey, wants to build Square into a much broader company made of stand-alone services. The two core products offered by Square are Square Seller and Cash App, which operate separately from their parent company.
It seems that Dorsey is friends with Jay-Z as he has been seen vacationing with them in the Hamptons and in Hawaii together.