Jay-Z Is Sinking Tidal As CEO Jumps Ship After Just 3 Months

Victoria Kezra
It's no surprise that Jay-Z and Beyonce's music streaming service Tidal can't hold on to a CEO.

Tidal just can’t catch a break. Not only does it have to compete with the recently announced Apple Music and not only is Tidal hemorrhaging employees and subscribers, but now another CEO have jumped the Tidal ship that’s slowly sinking into the waves.

“The only thing I can confirm is that I have resigned,” said now-former CEO Peter Tonstad, the troubled streaming service’s second CEO in 3 months.

Tidal’s original draw was the promise of high quality audio in the form of lossless files. It was an audiophile’s dream as documented in a great rundown of Tidal's original incarnation at The Verge. It was a fine, niche product that might have done well with people willing to pay the subscription for better audio. Then Jay-Z came along with one of the worst PR strategies in years.

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The thinking was semi-sound; tell people that Tidal gives a fairer cut of the revenue to artists and that fairness is worth paying extra for. It’s only partially sound because even if it is for a good cause, telling people to pay $19.99 a service they could get from Spotify for $9.99 does not appeal to some.

However, everything fell apart when Jay-Z, Beyonce, Madonna, Taylor Swift, Nikki Minaj and other obscenely wealthy musicians, people that make more in an endorsement Tweet than most people make all year, outstretched their hands and asked people to be sympathetic to the fact that Spotify didn’t give them more money.

People did not feel sympathy for these millionaires, they did not want to pay twice as much for Tidal when Spotify is better and cheaper.

So now Tidal is without a CEO, without enough subscribers to even touch Spotify’s heels and Jay-Z has an empty music clubhouse for all his wealthy musician friends.  

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