Tidal CEO Bails on Fledgling Streaming Service

Peter Tonstad, Tidal's interim CEO, who replaced Andy Chen in April, has resigned from his position at the streaming music service, according to Bloomberg Business

Tidal, owned by Jay Z and a bunch of his mega-rich musician friends, promises high-fidelity streaming, exclusives, and higher royalties for artists (combating a common complaint lodged against other streaming services). But those marketing points haven't been enough to help the struggling company acquire nearly as many users as cheaper streaming services like Spotify.

[jump] Tidal released a brief statement to Bloomberg saying, “Current executives in New York and Oslo will continue to lead our rapidly developing innovation and content initiatives until our new CEO is in place.”

Tonstad is the second CEO to ditch the company since it launched this year.

The news comes only days after Taylor Swift and Apple Music (which launches June 30) had a little heart to heart about royalties, and just as Google ramps up it's effort to snag some users for it's streaming service, Google Play Music.

It's unclear how much any of this influenced Tonstad's decision, and a tight-lipped statement he made to Norwegian news site Dagens Næringsliv (that Gizmodo translated) is unhelpful, saying, “The only thing I can confirm is that I have resigned.”

Only time will tell which streaming music service is destined to come out on top — but right now the tide seems to be against Jay Z and his lossless streaming crew. 

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