Power moves on power moves on top of power moves. Hov just struck a big deal for Tidal and the artists who have stake in the company as well, through Sprint.
After 2 years of denying rumors that Sprint was in the market for some of Tidal, it’s true that Tidal and Sprint are now business partners. The partnership will provide Sprint’s 45 million customers with “unlimited access” to exclusive artist content, while anyone with a preexisting Tidal subscription will experience no change in their current service.
“Sprint shares our view of revolutionizing the creative industry to allow artists to connect directly with their fans and reach their fullest, shared potential,” Jay Z said in a press release Monday. “[Sprint CEO] Marcelo [Claure] understood our goal right away and together we are excited to bring Sprint’s 45 million customers an unmatched entertainment experience.”
A source reportedly close to the deal revealed to Billboard on Monday that the purchase was for an estimated $200 million and that all of Tidal’s two dozen artist-owners (such as J. Cole, Kanye, Rihanna, Alicia Keys, Swizz Beatz, etc.) will keep their stakes.
“Jay saw not only a business need, but a cultural one, and put his heart and grit into building Tidal into a world-class music streaming platform that is unrivaled in quality and content,” Claure added. “The passion and dedication that these artist-owners bring to fans will enable Sprint to offer new and existing customers access to exclusive content and entertainment experiences in a way no other service can.”
The partnership includes the development of a “dedicated marketing fund” just for artists and with an annual budget of $75 million, will give participating artists the “flexibility to create and share their work” with their audience. More details coming soon.