Jack Dorsey’s Square online payment specialist takes a majority stake in the American rapper’s Tidal music streaming platform for $ 300 million. The goal is to find diversification income for artists.
Relaunched by rapper Jay Z, who acquired it in 2015 for $ 56 million, the music streaming platform Tidal is now part of Square, the fintech specializing in online payment co-founded and led by Jack Dorsey , also co-founder (in 2006) and co-boss of Twitter . Square has indeed announced that it has taken a majority stake for $ 297 million in cash and shares.
Fintech seems less interested in Tidal’s potential in music streaming per se against the behemoths that Spotify, Apple Music or even Amazon Music have become, than in generating new sources of income for artists. There is a lot of overlap between the music market and Square’s markets, including payment and trade, Jesse Dorogusker, a Square executive who will be Tidal’s interim boss, told Bloomberg.