Jay-Z's Tidal service is reportedly months late with royalty payments

Angelo Anderson
May 17, 2018

The same Norwegian newspaper accused the company of inflating streaming numbers for artists such as Beyoncé and Kanye West, as well as inflating its overall subscriber count. "The information was stolen and manipulated and we will fight these claims vigorously". Last December, a separate report from the same newspaper said that Tidal was running out of money, suggesting that it only had about six months of working capital left. Crucially, says DN, it did so without consulting rights-holders or PROs.

Hypebot has independently confirmed what several established Norwegian music companies told DN, TIDAL is months behind on payments to at least some rightshoders.

According to the publication, the claim that the streaming service is "behind with payments directly to the three major global record companies" is backed by multiple execs, painting a rather dire picture of Tidal's future. The 55% revenue payout share would be in line with new deals agreed by the major music companies and Merlin with Spotify around this time. While some of DN's sources were anonymous, two went on the record.

"It is correct that there are delays in payments from Tidal", explained Hungnes, who is one of two Sony-backed record label execs who corroborate the paper's report. Frithjof Boye Hungnes, CEO of independent label Propeller Recordings, claimed it's been awhile since Tidal has sent a scheduled monthly royalty payment.

The last public accounts for TIDAL's parent company, Project Panther Bidco Ltd, show that the firm lost $42.9m in 2016 (see below).

Other reports by Iphone Fresh

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