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TIDAL losing music as it fails to pay royalties

By Jules Wang May 18, 2018, 6:00 pm

Music distributors are pulling their libraries off of hi-fi streaming platform TIDAL as it struggles to operate with tight capital.

Dagens Næringsliv talked with executives of Norwayegian label Propeller Records and Sony-owned distributor Phonofile and found that they have not been paid since October.

“People are talking about withdrawing [their catalogs from TIDAL]; I think there is a pretty upset mood,” said Frithjof Boye Hungnes, Propeller’s CEO.

This is happening after the financial newspaper found the streaming company likely had fudged listening numbers for two of its biggest introductions: Beyonce’s “Lemonade” and Kanye West’s “The Life of Pablo.” Danish artist royalties collector KODA and Norwegian collector Tono have filed complaints against TIDAL and are conducting independent audits of unearthed data.

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TIDAL has denied DN’s claims and says it will fight against them. As to the underpayment of royalties, it also denies them through the following statement.

We have experienced negative stories about Tidal since its inception and we have done nothing but grow the business each year.

TIDAL had reported back in December that it had enough capital to operate as it had been for 6 months.

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