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Jay-Z's TIDAL Is Running Out Of Cash, Bleeding Users
16 December 2017, 06:00 | Jermaine Blake
Tidal is reportedly having money problems
Tidal, the music streaming service founded by Jay Z, is facing a cash crunch and may run out of money to provide its service in six months, according to a report on ValueWalk.
In a statement to The Verge, a Tidal spokesperson said, "We have experienced negative stories about Tidal since its inception and we have done nothing but grow the business each year". The new report corroborates earlier characterizations of TIDAL's finances. Although other reports say that the streaming service reckons it'll be profitable by the middle of next year.
For comparison, Spotify has more than 60 million subscribers, and Apple Music has more than 30 million.
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Jay Z and other top names in music - including Madonna, Daft Punk and Coldplay's Chris Martin - in March 2015 unveiled Tidal, promising to give artists greater control in the fast-growing industry of streaming, which allows unlimited, on-demand listening. Sprint subscribers now get six months of free high-fidelity Tidal service and Sprint-Tidal customers also get exclusive content on the music service.
Last year, Jay Z filed suit against the previous owners saying he was given inflated subscriber numbers.
Last year, The Wall Street Journalreported that Aspiro, the Swedish-based holding company that controls Tidal, had a loss of $28 million in 2015. It has not publicly announced any figures since 2016, when it claimed to have three million users - although some analysts have claimed that this included people on free trials, with actual paying users making up only a portion of that number.
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