For the second time in lower than a yr, staff at music streaming service Tidal will expertise mass layoffs.
Jack Dorsey, the CEO of fee processing firm Block, which acquired a majority stake in Tidal for $237 million in 2021, wrote in a leaked memo to workers that the corporate was “going to half methods with various people” to work “like a startup once more.”
The notice revealed that the engineering and design groups will see layoffs and product administration and product advertising and marketing roles will likely be eliminated totally.
“We’ll lead with engineering and design and take away the product administration and product advertising and marketing capabilities totally,” Dorsey wrote within the notice obtained by Fortune on Wednesday. “We’re decreasing the scale of our design group and foundational roles supporting TIDAL, and we’ll think about decreasing engineering over the following few weeks as we have now extra readability round management going ahead.”
Jack Dorsey. Photograph by MARCO BELLO/AFP by way of Getty Pictures
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Insiders informed Fortune that about 100 staff, or a few quarter of Tidal workers, might be let go. Within the notice, Dorsey didn’t say how many individuals the layoffs would impression.
Tidal launched in 2015 after artist Jay-Z purchased the tech firm behind it for $56 million. Since Dorsey’s takeover in 2021, Tidal has gone by way of a number of layoff rounds. In December 2023, Tidal minimize 10% of workers, or about 40 individuals.
Tidal has 0.5% of the music streaming U.S. market, with simply over 700,000 subscribers. Spotify, Apple Music, and Amazon Music have over 90% of the market mixed. Spotify leads the pack with 36% of the market alone.
Dorsey famously based Twitter in 2006. He’s at present value $4.5 billion, per Forbes.
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