Jack Dorsey Tells Tidal Staff About Another Round of Mass Layoffs in Leaked Note: 'Much Smaller Team'

For the 2nd clip successful little than a year, labor astatine euphony streaming work Tidal will acquisition wide layoffs.

Jack Dorsey, the CEO of costs processing institution Block, which acquired a mostly liking successful Tidal for $237 million successful 2021, wrote successful a leaked memo to unit that the institution was "going to portion ways pinch a number of folks" to activity "like a startup again."

The statement revealed that the engineering and creation teams will spot layoffs and merchandise guidance and merchandise trading roles will beryllium removed entirely.

"We're going to lead pinch engineering and creation and region the merchandise guidance and merchandise trading functions entirely," Dorsey wrote successful the statement obtained by Fortune connected Wednesday. "We're reducing the size of our creation squad and foundational roles supporting TIDAL, and we will see reducing engineering complete the adjacent fewer weeks arsenic we person much clarity astir activity going forward."

Jack Dorsey. Photo by MARCO BELLO/AFP via Getty Images

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Insiders told Fortune that astir 100 employees, aliases astir a 4th of Tidal staff, could beryllium fto go. In the note, Dorsey did not opportunity really galore group the layoffs would impact.

Tidal launched successful 2015 aft creator Jay-Z bought the tech institution down it for $56 million. Since Dorsey's takeover successful 2021, Tidal has gone done aggregate layoff rounds. In December 2023, Tidal trim 10% of staff, aliases astir 40 people.

Tidal has 0.5% of the euphony streaming U.S. market, pinch conscionable complete 700,000 subscribers. Spotify, Apple Music, and Amazon Music have complete 90% of the marketplace combined. Spotify leads the battalion with 36% of the marketplace alone.

Dorsey famously founded Twitter successful 2006. He is presently worthy $4.5 billion, per Forbes.

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