Tidal, which was created by Beyoncé, Jay-Z, and a string of other artists is largely considered a failure, even though it has over one million users. The big question, though, is how the failure will effect Beyonce and Jay-Z’s net worth.
According to Forbes, Beyoncé has a net worth of $250 million, while combined with Jay-Z, the “Single Ladies” singer has a net worth of over $450 million. Of course, when the power couple introduced Tidal to the world, pairing up with other superstars like Madonna, Nicki Minaj, Rihanna, to name a few, everyone expected Beyoncé and her husband’s new streaming service to be a huge hit that would increase their net worth.
Tidal was created, according to Hollywood Take, to “put the power back into the hands of the artists” like Beyoncé, and is poised as a competitor to music streaming giants Pandora and Spotify.
But, the company started by Beyoncé and her husband has failed to attract as many users as Apple, for example, which has over 6.5 million users, according to CNBC, making investors wary of the newly-minted streaming service. More investors would increase Beyoncé and Jay-z’s personal net worth.
Investors are also shy to bet on Beyoncé and Jay-Z because, according to CNBC, only a few owners showed up to the concert in New York, where Beyoncé headlined, leading investors to wonder if the service is worth their time. CNBC also reports that only one mega star, Beyoncé, walked the red carpet at the charity concert, and that was after it had begun.
Co-owner Nicki Minaj, whose net worth would undoubtedly be increased if Tidal was successful, shunned the red carpet unlike Beyoncé, showing up only to sing.
Madonna, who also has an ownership stake in the company along with Beyoncé, and whose personal net worth is $520 million, according to Forbes, was unavailable for the New York concert since she’s in the middle of her Rebel Heart Tour.
Also effecting Beyoncé and Jay-Z’s net worth is the $50 million lawsuit filed by Birdman and Cash Money, who sued Tidal after the service streamed tracks from Lil’ Wayne’s recent mixtape, FWA, reports Hollywood Take. Cash Money claims it has exclusive rights to the songs on FWA, but Tidal claims that Lil’ Wayne also owned the rights.
According to Hollywood Take, Lil’ Wayne gave Beyoncé and Jay-Z’s Tidal permission to stream FWA in exchange for partial ownership of the company, a move that would supposedly increase his own personal net worth.
Married couple Beyoncé and Jay-Z are also in the midst of a second lawsuit from Osama Fahmy, the nephew of Egyptian composer Baligh Hamdi, according to Hollywood Take, an issue that also threatens the singer’s incredible net worth. According to attorneys for Fahmy, Jay Z and Timbaland are accused of illegally sampling Hamdi’s “Khosara Khosara” for their song “Big Pimpin’.”
According to Hollywood Take, although a judge ruled in Beyoncé and Jay-Z’s favor, Fahmy says he plans to appeal, a move that might bring down Beyoncé and Jay-Z’s combined net worth.
But, there’s another problem with Tidal — a lot of consumers aren’t even aware it exists. According to CNBC, even though the Tidal concert was something of a success, attracting major stars like Beyoncé and Nicki Minaj, concert-goers weren’t even aware that Tidal was a streaming service.
“I don’t know what the hell it is,” one concert attendee confessed according to CNBC, after joking it might be a new music group he had never heard of. He attended the concert to hear Beyoncé.
Another problem with Beyoncé and Jay-Z’s music streaming service, and one that will have consequences for Beyoncé and her net worth, is that, according to Peter Alhadeff, music and business management professor at the Berklee College of Music, “[n]o one is going to join a site just because famous artists own it,” reports CNBC.
For now, despite one million users, it remains to be seen whether ownership of Tidal will have a positive impact on Beyoncé and her net worth.
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