Hip Hop’s 1st Billionaire: Jay-Z

Shawn Corey Carter, more popularly known as Jay-Z, was born in Brooklyn, New York, in 1969. He was raised in a public housing project called 'Marcy Houses'. His father abandoned their family when he was just 11 years old, and his mother Gloria Carter raised him and his 3 older siblings.

Since childhood, he was drawn to music and poetry and started writing songs and performing freestyle raps. When he began his music career professionally, no major label gave him a record deal.

Music Career

Jay-Z sold burned CDs out of his car. He created 'Roc-A-Fella Records' in 1995 as an independent label along with Damon 'Dame' Dash and Kareem'  Biggs' Burke.

For Jay-Z, music was his foot through the door towards wealth. He is one of the best-selling Artists of all time, having sold more than 140 million records and has won more than 24 Grammy Awards. He also holds the record for the most number-1 albums by a solo artist on the Billboard 200. He is also the first rapper to be inducted into the song-writers' hall of fame.

To date he has released the following

• 13 x Solo Albums
• 4 x Collaborative Albums
• 1 x Live Album
• 1 x Compilation Album
• 1 x Soundtrack Album
• 2 x Extended Plays

According to Forbes, Jay-Z is one of the highest-earning music artists of all time. His annual income through music is estimated to exceed $100 Million. This income comes from multiple platforms like

• Spotify
• Apple Music
• Amazon Music
• YouTube

Liquor Ventures

In 2006, Jay-Z bought the champagne brand Armand de Brignac from Sovereign brands. This champagne brand was featured in his music video 'Show me what you got' in 2006. Even though the numbers are disputed, LVMH (Moet Hennesy Louis Vitton) is reported to have acquired a 50% stake in this brand in 2014 for $315 Million.

In 2012, Jay-Z partnered with Bacardi to acquire D'Ussé from Sovereign brands. In 2021, Jay-Z triggered a put-option making it obligatory for Bacardi to buy his 50% stake in the company. Jay-Z stated the brand was worth $2.5 Billion, while Bacardi said the brand was only worth $460 Million. Jay-Z sued Bacardi over this. He then offered $1.5 Billion to buy out Bacardi's shares. After months of legal back-and-forth contention, Bacardi has agreed to buy out a majority stake worth about $750 Million. Jay-Z would continue to have a stake in the brand.

Technology Investments

In 2015, Jay-Z purchased the Scandinvanian-based streaming company 'Tidal' for $56 Million. He then re-launched the platform with a roster of celebrity investors, including Beyonce, Kanye West and Calvin Harris. Tidal was valued at $600 Million just 2 years later! In March 2021 Square acquired an 80% stake in Tidal for $302 Million.

In 2013, Jay-Z became an early investor in JetSmarter, which was positioned as the Uber for Jets. In 2020, Vista Global, which is a private aviation company, acquired JetSmarter. Since this was a private company – Jay-Z's earnings through this acquisition are unclear.

Entertainment & Talent Ventures

Jay-Z founded Roc Nation, an entertainment agency, in 2008. This company played a prominent role in the launch of the careers of superstar musicians Rihanna and Ne-Yo.

Roc Nation Sports, a division of Roc Nation, represented NBA Champion Kevin Durant and also many other profile athletes like

• Deandre Jordan (NBA)
• Saquon Barkley (NFL)
• Leonard Fournette (NFL)
• Juan Martin del Porto (Tennis)
• Robinson Cano (MLB)

Fashion Ventures

In 1999 Jay-Z co-founded Rocawear, a clothing brand aimed at the urban hip-hop market. Rocawear has since gone on to become one of the most successful streetwear brands in the world. In 2007, Jay-Z sold the rights to the Rocawear brand to Iconix Brand Group for $204 Million.

Art Collection

Investing in valuable art pieces is another asset class of choice of the wealthy, and Jay-Z, too, has his own fair share of art collection. He owns 'Mecca' by Michel Basquiat, which has an estimated worth of $4.5 Million. He has featured multiple art pieces in his music videos; however, it is not quite clear which of these he owns.

• ‘Picasso Baby’ music video features Pablo Picasso's "Les Femmes d'Algers painting.
• ‘Smile’ music video features Jean-Michel Basquiat's "Crown" painting.
• ‘The Story of O.J.’ music video features a graphic by artist Molly Crabapple that depicts black stereotypes and negative caricatures.

Real Estate Empire

Jay-Z has quite a substantial Real Estate portfolio which is worth 100s of Millions. Here is a list of some of the real estate he owns

• Los Angeles Mansion bought in 2017 worth $88 Million
• Tribeca Penthouse bought in 2017 worth $26 Million
• Luxurious estate in The Hamptons
• Office building in Soho worth in 2019 for $70 Million
• Roc Nation HQ in Midtown Manhattan

In 2019, Forbes announced that Jay-Z was officially a Billionaire making him the 1st Hop Hop Artist to become one. His current net worth is estimated to be $1.7 Billion!  His wife, Beyonce has an estimated net worth which is north of $500 Million, making them both one of the most powerful celebrity couples of all time.