Jay Z Threatens to Sue Former Tidal Owners Over Inflated Subscriber Numbers
There’s never a dull moment at Jay Z’s streaming service Tidal. This week, news emerges that the hip hop mogul is preparing a multi-million dollar lawsuit against the former owners of Tidal, which sold the service to him for around $57 million a year ago. The claim: Tidal’s former owners exaggerated the number of subscribers the music service had at the point of the acquisition.
“It became clear after taking control of TIDAL and conducting our own audit that the total number of subscribers was actually well below the 540,000 reported to us by the prior owners,” Tidal said in a statement sent to Variety. “As a result, we have now served legal notice to parties involved in the sale.”
Norwegian press reports relayed by Music Business Worldwide estimate that Tidal wants about $15 million back; the company declined to comment on these specifics.
The lawsuit comes just days after Tidal reported its own numbers, claiming that the service now has more than 3 million subscribers worldwide — a number that was boosted by a series of recent exclusives.
However, some of those releases may not actually have been as exclusive, after all: Kanye West’s latest album “The Life of Pablo” will arrive on Apple Music, Spotify and other services as early as tomorrow, according to multiple reports. That’s despite the fact that West had previously promised to make the album a permanent Tidal exclusive.