The CEO of Jay Z's struggling high-definition music streaming service Tidal quit on Tuesday less than three months on the job.
Hip-hop mogul Jay Z purchased the music streaming service in March for $56million and it became a private company.
CBS News reported that the subscription service, which was originally based in Norway, had been marketed as 'a moment that will forever change the course of music history'.
But since the revamped service was unveiled to the public in New York in March, it has struggled to find an audience and has now lost its second CEO.
Soon after Jay Z took over the company it was announced that CEO Andy Chen was leaving to be replaced by Peter Tonstad, a former CEO of Tidal's parent company Aspiro Group, as interim chief executive.
At the time a company statement said Tonstad 'has a better understanding of the industry and a clear vision for how the company is looking to change the status quo'.
News of Tonstad's stepping down was first reported in the Norwegian newspaper Dagens Næringsliv.
'The only thing I can confirm is that I have resigned,' Tonstad told the Paper.
Despite its high-profile re-launch, Tidal has been struggling to find a customer base. Last month, company CIO Vania Schlogel told CBSN that Tidal was 'doing fine' and had about 800,000 subscribers.
But when you look rival streaming services such as Spotify, which reportedly has 20million paid subscribers, as well as another 55million people who use its free streaming service, Tidal does not compare.
Ahead of the relaunch in March Jay Z was quoted by the New York Times as saying: ''The challenge is to get everyone to respect music again, to recognize its value.
'Water is free. Music is $6 but no one wants to pay for music. You should drink free water from the tap - it's a beautiful thing. And if you want to hear the most beautiful song, then support the artist.'
CBS News went on to report that some recording artists and critics say Tidal has ignored the realities of a rapidly evolving music industry, and to the struggles of non-superstar musicians.
'What I'm not into is the tribalistic aspect of it - people trying to corner bits of the market, and put their face on it,' Marcus Mumford of the British band Mumford & Sons told The Daily Beast back in April.
'We just want to play music, and I don't want to align myself with Spotify, Beats, Tidal, or whatever,' he added. 'We want people to listen to our music in their most comfortable way, and if they're not up for paying for it, I don't really care.'
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