Square Inc., a digital payment company run by Jack Dorsey, held talks on buying Tidal’s music streaming service as part of a diversification effort, according to a person familiar with the situation.
Dorsey was discussing a potential deal with Jay-Z, a rapper and music mogul who bought Tidal for $ 56 million in early 2015, said a person who asked not to be identified because the talks were private. Negotiations must not result in a transaction.
Square declined to comment until Tidal responded to requests for comment.
Tidal, which was first launched in 2014, is trying to keep up with other streaming services, including Spotify Technology SA and Apple Music. Jay-Za’s music itself is bait for the platform, but he is returned his songs to Spotify last year – asking questions about Tidal’s health. The tightly maintained service has not reported a number of subscribers since it said it had 3 million paying customers in 2016.
Dorsey, meanwhile, has ambitions to build Square into a much broader company made up of stand-alone, complementary services. Two of Square’s key products, the Square Seller and the Cash App, already operate somewhat separately within Square Inc., each with its own “leadership” on the executive team. Dorsey is believed to have spent more than four years on the board Walt Disney Co., imagines that Square will similarly own a collection of companies under one corporate umbrella.
Dorsey was photographed in August in the Hamptons with Jay-Z and his wife Beyoncé and then again in December with a powerful couple and actor Sean Penn on a beach in Hawaii.
Tidal owners include nearly two dozen high-profile artists, including Beyoncé, Alicia Keys, Coldplay, Madonna, Rihanna and others. your website. The service is available in 53 countries and offers more than 60 million songs and 250,000 videos.
The service tried to use its stellar power to offer experiences that complement her music. This includes a Rihanna runway show in Paris that aired for Tidal members, as well as charity concerts by Jay-Za and Beyoncé.
– With the help of Scott Moritz