Is Tidal going out of business?
For the last few months, it has looked increasingly likely that music streaming service Tidal is going out of business. Particularly since it was reported in December, 2017 that the service, founded by rapper Jay-Z, only had enough money to survive another six months.
That prediction now seems to be coming true with affiliates of major labels like Sony reporting this week that Tidal is months behind paying them the streaming fees they are due. A representative from one label was quoted yesterday as saying Tidal is six months behind paying them.
The man, Frithjof Boye Hungnes, the CEO of Propeller Recordings, also added ,“We have not been paid since October … People are talking about withdrawing from Tidal; I think there is a pretty upset mood.”
But let’s face it, when Tidal “only has enough money to survive another six months”, and they have stopped paying the people who provide the music their listeners enjoy then, my guess is, it is highly unlikely Tidal will be around for much longer.
Not unless someone injects a few hundred million into what looks like a dying company and, as that is rarely a good investment, there probably is not much likelihood of that happening.
So what does this mean for Tidal subscribers? That number of which has been reportedly falling for months as well.
Right now, the only option for lossless audio is Deezer’s HiFi tier, so it is likely a large number of audophiles may just move there. I’m guessing Deezer is currently waiting for more Tidal news with bated breath.