Shortform streaming service Quibi has announced it’s closing down, barely six months after launching.
Founders Jeffrey Katzenberg and Meg Whitman told investors that $US350 million out of the initial $US1.75 billion in funding remains.
The company will now attempt to return some of the funding to investors.
Despite only launching in April, the writing had been on the wall for some time for the streaming service.
A mobile-only platform, Quibi attempted to entice viewers with a 90-day free trial and a relatively affordable $US5 a month pricetag.
However, the app reportedly has only 500,000 paying customers, despite initially attracting 7 million.
Katzenberg and Whitman had worked with a restructuring firm to find a buyer, but to no avail, according to The Guardian.
“It is with an incredibly heavy heart that today we are announcing that we are winding down the business and looking to sell its content and technology assets,” the company said in a statement earlier this morning.
“Quibi was a big idea and there was no one who wanted to make a success of it more than we did. Our failure was not for lack of trying; we’ve considered and exhausted every option available to us.”
The company reportedly told its 200 employees the news in an all-hands internal meeting on Tuesday.
At launch, the service had over 50 original titles including originals with Jennifer Lopez, Chrissy Teigen, Chance the Rapper, Liam Hemsworth, Sophie Turner, Lena Waithe, Nicole Richie and Reese Witherspoon.
It had also reportedly approved upcoming projects with Steven Spielberg, Sam Raimi, Antoine Fuqua, Anna Kendrick, Rachel Brosnahan, Issa Rae, Kevin Hart, Steven Soderbergh and the Kardashians,
In the postmortem, the company said it “will never know” the exact reasons for the service’s failure, but suspected the COVID-19 pandemic had been a contributing factor.
“The circumstances of launching during a pandemic is something we could have never imagined but other businesses have faced these unprecedented challenges and have found their way through it. We were not able to do so.”
The Quibi team had clearly hoped it would enjoy the same audience growth during the pandemic which the likes of Netflix and Stan have enjoyed.
However, the growing number of streaming options available to audiences – as well as the popularity of social media platforms like TikTok – likely led to the demise.
Please login with linkedin to commentquibi
Today, Blis, the pioneer of privacy-first location-powered advertising, announces the launch of its new playbook, ‘Preparing for a privacy-first world: your personal guide to getting impersonal’. This educational playbook complements the company’s global ‘It’s nothing personal’ ad campaign launching today, to create awareness about the need for a privacy-first approach. Changes to IDFAs and cookies will fundamentally […]
Following a competitive pitch, independent agency, Archibald Williams has won the atWork Australia account and been tasked with launching the new employment services campaign, highlighting that work is for everyone. This is the first time atWork Australia has used the services of an agency for above the line messaging. Archibald Williams will handle TV, OOH, […]
Leading Australian podcast agency, The Peers Project, has partnered with global e-commerce company, Shopify, to amplify diverse millennial voices through the podcast series ‘Peers2Peers’. The 150 episode podcast, powered by Shopify, showcases the entrepreneurship and personal journeys of inspiring millennial leaders from across the globe. The podcast provides real life advice from young leaders and […]
Despite a strong launch on Sunday night, Dancing With The Stars: All Stars had a drop of 186,000 for Monday night’s show, ultimately waltzing away with 558,000 viewers. Episode two introduced a new group of competing celebrities and saw model and actress Erin McNaught get eliminated after her Viennese waltz failed to win over the […]
David Beckham has been announced as the new global brand ambassador of Maserati and has revealed his first work for the famous Italian marque. The accompanying TVC sees Beckham, 45, doing donuts in a Miami parking lot with his new Maserati SUV, the Levante Trofeo, all while dressed as an extra from Miami Vice. The […]
Barilla repositions itself on a global level with a new Global Brand Campaign signed by Publicis Italy, which puts emotions back at the core of its communication and marks a new strategic path for the brand worldwide. As in the memorable campaigns of the past, the brand speaks to people’s hearts giving a special value […]
Tribal Australia, part of DDB Group, has hired Colin Jowell (left in main photo) as its first-ever chief strategy officer, further bolstering its strategic capabilities and credentials. Jowell was most recently at KPMG as part of the consultancy firm’s Customer, Brand and Marketing advisory. Jowell first joined KPMG in 2018 following its acquisition of UDKU, […]
Initiative Melbourne has won a competitive pitch for the national Plush Sofas media account. The assignment is effective immediately. Plush Sofas is a national retailer founded in Victoria over 20 years ago with a retail network of 46 showrooms across Australia. It is the leading sofa and lounge specialist, known for high-quality products, customisable range, […]
H&H Group (parent company of Biostime, Swisse, Solid Gold, Dodie, Good Goût, and Aurelia Probiotic Skincare) stands for Health and Happiness, a sentiment that extends to everything they do. To celebrate these values and the Group’s shared culture across their teams in Asia-Pacific, Europe, North America and Oceania, the Group has partnered with creative studio […]
One of Asia Pacific’s most experienced human resources leaders, Jean-Michel Wu, has been appointed Head of Talent at TotallyAwesome. The new position will see Jean-Michel Wu work with TotallyAwesome CEO, Will Anstee, and a growing regional management team TotallyAwesome provides a forum for kids, teens and families to safely interact with brands across thousands of […]
Cannes Lions has today announced its jury line-up of global experts selected to award the world’s very best creative work and benchmark excellence this June. The Lion-winning work will be announced and awarded during Cannes Lions Live, a fully digital experience, running from 21-25 June 2021, that’s included for free as part of the new […]