After heading the storied hip-hop label since 2005, rapper turned label exec, Jay-Z, has decided not to resume his post as president of Def Jam.
The announcement was made yesterday (December 24) that the music mogul had decided not to continue his duties as president of the label, acording to industry website Hits Daily Double. Jay's contract with Def Jam expires at the end of this year.
Negotiations to renew the Brooklynite's contract had reached a stand still earlier this month when Jay and the label could not reach an agreement on how much he would be compensated to continue running the label. Def Jam's parent company complained that the amount Jay was requesting was "excessive" and that they could not justify shelling out that amount of cash, especially with the overall decrease in record sales for hip-hop as of late.
"He wanted big, big money that was way out of sync with the realities of today's record business," one source close to the situation told New York's Daily News.
"People have lost count of how many times he's come out of retirement," the source said. "Everybody knows he's not around the office much. Everybody at Universal loves him, but they can't justify paying him the money he wants when so many people have been laid off."
But the Jigga man has no hard feelings and instead looks at the move as a positive rather than a negative.
"I've been incredibly fortunate to have served as president of such a culturally-defining label as Def Jam over the last three years," Hov said via a statement. "During that time, I've had the pleasure of working with many of the world's most dynamic artists and many of the most dedicated and talented executives in the music business today, including [IDJMG Chairman/ CEO] Antonio "L.A." Reid. But now it's time for me to take on new challenges. I am pleased to have had the opportunity to build upon the Def Jam legacy, helping to move the company into a new era of artistic success."
L.A. Reid also commented on Jay's departure, saying that while he's saddened by the loss of the multi-talented artist and businessman as an executive, he understands the move and wishes him the best in his future endeavors.
"Jay made it clear to us that he feels the time has come to take on different challenges in his life. While we regret his decision to move on, we certainly respect it. Since Jay joined us as President of Def Jam in 2005, we have all benefited from his leadership, sense of spirit and invaluable friendship," said Reid.
"While he will continue to be one of our signature artists, he will nonetheless be missed in this executive capacity. The entire Island Def Jam family joins me in wishing him the very best in all of his future business endeavors."
Though his tenure as Def Jam head honcho may be ending, Mr. Carter is still "big pimpin'" the business world. He, along with several other partners, recently purchased a $66 million site at 510 W. 22nd St. which runs through to 511 W. 21st St. in New York City. The site will either serve as the newest locale for yet another high-end hotel spot or an art gallery on the prime Manhattan real estate.
Jay will also continue to be an artist on his own Roc-A-Fella label via Def Jam, and has no plans on slowing down his music grind. In fact, Jigga is in as high demand as ever, with tickets to his December 29 show at the luxurious Pearl Concert Theater in Las Vegas selling out in only an hour.