Jay Z’s New Music Subscription Venture “Tidal” A Flop
Multi-millionaire rapper and entrepreneur Jay-Z recently bought and re-launched the subscription music service, Tidal, for $56 million with the intention of providing high-quality streaming and exclusive content for a monthly fee of $10 to $20.
With less than a month since then, Tidal has come under heavy scrutiny from the public who believes that Tidal can never be compared to Spotify or Pandora and is nothing but a spectacular failure.
"I think Jay-Z is about to find out the limits of his celebrity," David Pakman, a venture capitalist and former digital music executive, told the New York Times.
After debuting in the top 20 iPhone apps chart, Tidal last month fell from the
Top 700 iPhone apps chart.
In his defense, Jay-Z took to twitter using hashtag #TidalFacts. He explained that Tidal has no intentions of competing with Spotify, but he is in the process of pushing a collaboration with Soundiiz, a known company that transfers playlists from one streaming app to another.
“Tidal is doing just fine. We have over 770,000 subs. We have been in business less than one month,” Jay-Z said. “The iTunes store wasn’t built in a day. It took Spotify nine years to be successful. We are here for the long haul. Please give us a chance.”
Diddy backed Tidal, telling Billboard: "It's a great idea for the artist to be involved in the distribution... I would bet on Jay Z."