Didn't you hear? Streaming services are all the rage. Whether it's Netflix or Spotify, it's clear that users want unlimited streaming access to their favorite content. Jay-Z definitely received the memo.
Hip-hop star and entrepreneur Jay-Z is planning to buy out the Swedish music streaming company Aspiro. Project Panther Bidco Ltd, Jay-Z's media company, said on Friday that it was going to buy the media company for $56 million, Reuters reported.
Project Panther told Reuters that it had been following Aspiro's development for some time and believed it to be "an innovative high-quality company with some strong future growth potential." Once Project Panther pays for its share of the company, it will have control of 75 percent of all shares.
Aspiro currently operates an ad-free music service called WiMP as well as a higher-definition audio stream called Tidal. While WiMP is only available in northern Europe, Tidal launched its U.S. and U.K. version of the service in 2014. Users can pay $20 a month to get access to 25 million tracks at a higher audio conversion rate than Spotify or Pandora.
This isn't Jay-Z or Project Panther's first investment in business or media. The rapper's representative company has invested in a number of different businesses, including 40/40 Club sports bars, Reebok, Roc Nation and the New Jersey Nets. It also isn't the first time a hip-hop star has ever paid for a music-focused company. Dr. Dre originally invested millions into his Beats headphones business before he sold it to Apple for 3 billion.
It's unclear what Jay-Z and Project Panther's plan for the company is at the moment. Jay-Z may be looking to bring WiMP to the states, expand Tidal's marketing or pursue a different path altogether.
