Tidal, a new music service, hopes to erode the reign of Spotify usher in a wave of streaming music. Some musicians are tired of streaming services undercutting their bottom line, and taking the power away from the artist and putting it in the hands of tech companies.
Tidal is the first artist owned streaming company. It is offering users a full package deal of high quality, lossless sound exclusives and videos released from the artist.
Tidal hit the streaming arena with a star studded line up of artists and owners to backup up the service. Part owners of the service include Beyoncé, Jay-Z, Alicia Keys, Kanye West, Madonna, Rihanna, Nicki Minaj, and Usher just to name a few.
“Right now they’re writing the story for us,” Jay-Z said in a product-launch video. “We need to write the story ourselves.”
Thanks to streaming sites musicians feel that their craft is becoming worthless. Tidal is offering the artist more money unlike rival streaming giant Spotify who has come under fire for its low royalty payouts to artist.
“Hopefully artists will receive a better royalty rate than the current streaming services offer,” Ben Yonas, music business professor, said. “Spotify’s rate is low. There is only way to go from here and that is up."
Spotify is not the only service that has low royalty pay out, Pandora also has low royalty payout considering the amount of times a song was streamed.
According to an email from Sony/ATV head Martin Bandier obtained by Digital Music News’ Paul Resnifkoor, Pharell’s Happy was streamed by users 43 million times, and it only brought in $ 2,700 in publisher and songwriter royalties.
The question then becomes since Tidal is offering such a premium to artist to want to pull their music off of Spotify to this new up and coming service.
Unlike Spodify, Tidal does not offer a free service. Tidal is $9.99 a month for the basic service, and $19.99 for the premium service to gain access to its high-fidelity audio and video.
Because of it high subscription price many people wonder if consumers will to subscribe to a service when you have other free alternatives.
“If you have money to spend then I would subscribe,” said Yonas. “Would I buy it if I was a college student, no.”
Tidal is placing bets on high-end audiophiles looking for high quality music and music lovers who can afforded the price of subscription.
“It definitely appeals to people who really care about the music and want to hear it the way it’s intended, “ Jay-Z, said in a interview with Billboard Magazine. “And hopefully some day with technology we figure out how to deliver that high-def sound, maybe even in a $9.99 model. Who knows what the future holds.”
