In an effort to create new ways for artists to monetize their music, JAY-Z's TIDAL streaming platform is moving under the umbrella of Square, a financial services and payments company led by Twitter CEO Jack Dorsey.
Square is paying $297 million for majority ownership of TIDAL. Not only are Hov's pockets getting buff; he'll also be joining Square's board of directors. In a 9-tweet thread, Dorsey offered context on the deal: "Making the economy work for artists is similar to what Square has done for sellers."
Speaking up: JAY-Z even broke a more than 2-year Twitter hiatus to share his excitement about the acquisition. He called Dorsey "one of the greatest minds of our times" and reaffirmed TIDAL's mission to always support artists. "Artists deserve better tools to assist them in their creative journey," he wrote.
Speculation around Hov and Dorsey talking business – the latter being 7 years younger than Jay – was sparked last August when the two were spotted on a yacht together near the Hamptons. A few months later, they hung out in Hawaii.
Scheming: It's the second major business move of 2021 for Jay, who sold half of his Armand de Brignac champagne line (Ace of Spades) to luxury conglomerate LVMH just last week for a reported $315 million. (LVMH also owns Dom Pérignon.)
One Twitter user pondered whether Jay is "pivoting" his investment strategy.
Making business models as artist-friendly as possible is a growing trend among music streaming platforms. As the OG champion of indie talent, SoundCloud shared plans to pay royalties to creators based on the individual users who listen to them, a first-of-its-kind practice.