A new report in Dagens Næringsliv says that streaming service Tidal is months behind on payments to labels.
In the report, the newspaper says that multiple sources have divulged that Tidal is “behind with payments directly to the three major international record companies.” Backing this claim up are two executives from a label and its Sony-owned distributor who say they have not seen royalty payments in over six months.
According to a translation by Music Business Worldwide, Sveinung Rindal, CEO of distribution company Phonofile (a Sony subsidiary), told the Norwegian paper, “It is correct that there are delays in payments from Tidal,” while Frithjof Boye Hungnes, CEO of Propeller Recordings, confirmed, “We have not been paid since October … People are talking about withdrawing [their music from Tidal]; I think there is a pretty upset mood.”
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. In a statement to The Verge, a Tidal spokesperson said, “We have experienced negative stories about Tidal since its inception and we have done nothing but grow the business each year.”
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