*Jack Dorsey’s mobile payments company Square, Inc. has acquired a majority stake in Jay-Z’s Tidal for $297 million in cash and stock.
According to a press release, per Complex, existing artist shareholders will be the remaining stakeholders. Tidal will operate independently within the Square framework alongside Seller and Cash App.
In a statement on Twitter, Dorsey wrote, “Square is acquiring a majority ownership stake in TIDAL through a new joint venture, with the original artists becoming the second largest group of shareholders, and JAY-Z joining the Square board.”
Jay-Z also released a statement on his Twitter page, and it’s the first post made on the account since 2018. The rapper and entrepreneur also changed his username from @S_C_ to simply @sc.
“I said from the beginning that TIDAL was about more than just streaming music, and six years later, it has remained a platform that supports artists at every point in their careers,” Jay said. “Artists deserve better tools to assist them in their creative journey. Jack and I have had many discussions about TIDAL’s endless possibilities that have made me even more inspired about its future. This shared vision makes me even more excited to join the Square board. This partnership will be a game-changer for many. I look forward to all this new chapter has to offer!”
Per Square, the acquisition of Tidal “extends Square’s purpose of economic empowerment to a new vertical: musicians. Artists are entrepreneurs with a dream and deserve access to systems, tools, and financial freedom to reach those dreams at every stage in their career. Square has helped millions of businesses start, run, and grow by providing them with tools needed for success. With Cash App, Square has made financial services more relatable and accessible to millions of customers, many of whom have been historically overlooked and underserved. Square sees an opportunity to leverage those learnings to help musicians find new ways to support their work and make better decisions through Tidal.”
Dorsey said the new deal “comes down to one simple idea: finding new ways for artists to support their work. New ideas are found at intersections, and we believe there’s a compelling one between music and the economy. I knew TIDAL was something special as soon as I experienced it, and it will continue to be the best home for music, musicians, and culture.”
Jay-Z previously announced he sold a fifty percent ownership stake in Armand de Brignac (Ace of Spades) champagne to LVMH.