Wikipedia

Quibi

Quibi(/ˈkwɪbi/KWIB-ee) was an American short-formstreamingplatform that generated content for viewing on mobile devices. It was founded inLos Angelesin August 2018 asNewTVbyJeffrey Katzenbergand was led byMeg WhitmanasCEO.The service raised $1.75 billion from investors.[1]It launched in April 2020, but shut down in December 2020 after falling short of its subscriber projections.[2][3][4]In January 2021, Quibi's content library was sold toRoku, Inc.for less than $100 million.[5][6][7]The platform's concepts and failure inspired widespread mockery.[1][8][9]

Quibi
Type of businessPrivate
Type of site
OTT platform
FoundedAugust 2018(2018-08)
DissolvedDecember 1, 2020(2020-12-01)
Successor(s)The Roku Channel
HeadquartersLos Angeles, California, U.S.
Area servedUnited States
Canada
United Kingdom (limited)
Australia (limited)
Germany (limited)
Brazil (limited)
Founder(s)Jeffrey Katzenberg
Key peopleMeg Whitman(CEO)
LaunchedApril 6, 2020(2020-04-06)
Current statusDefunct

History

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Pre-launch

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Quibi was founded in August 2018 as NewTV by Jeffrey Katzenberg and was led by Meg Whitman as CEO.[10]In October 2018, NewTV was renamed Quibi.[11][12]The service targeted a younger demographic, with content delivered in 10-minute episodes called "quick bites" (with the name Quibi derived from "QUI-ck BI-tes" ).[13][14]In 2018, Quibi raised $1 billion in funding from majorHollywoodfilm studios, TV companies, telecommunications companies, technology companies, banks, and other investors includingThe Walt Disney Company,21st Century Fox,NBCUniversal,Sony Pictures,WarnerMedia,Viacom,RTL Group,FremantleMedia,eOne,Lionsgate,MGM,Madrone Capital,Goldman Sachs,JPMorgan Chase,Alibaba Group,Liberty Global,andITV.[15][16]

In 2019, Quibi announced it would launch in April 2020 with two pricing tiers. On July 8, 2019,BBC Studiosannounced it had invested in Quibi.[17][18]By late 2019, Quibi announced it had sold out its first-year advertising inventory, which amounted to $150 million.[19]

In 2020, Quibi presented atCESon its full launch plans including details on its content, technology, and partnerships.[20][21]In March 2020, Quibi announced a partnership with Canadian telecommunications companyBCE,whereby itsBell Mediadivision would produce Canadian news and sports content for the service (viaCTV NewsandTSNrespectively), andBell Mobilitywould be Quibi's exclusive Canadian telecom marketing partner.[22]

Launch

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Quibi launched on April 6, 2020.[23]It was available in the United States and Canada.[24]An ad-free U.S. version of the app was made available in the United Kingdom, Ireland, Australia, and Germany among others on April 6, 2020.[25][26][27]TechCrunchreported that Quibi saw 300,000 downloads and "hit No. 3 in the App Store" on its launch day.[28]On April 14, the company announced it had seen 1.7 million downloads of its app in its release week.[29][30]In theGoogle Playstore, Quibi was the 11th-most-downloaded app as of April 16.[31]

Quibi's app fell out of the list of the 50 most-downloaded free iPhone apps in the United States a week after it was released. According to the analytics firm Sensor Tower, by early May the app was ranked 125th. Sensor Tower also said the app had been installed by 2.9 million customers, although Quibi said the figure was closer to 3.5 million. Of those who had installed the app, Quibi says 1.3 million were active users. Katzenberg acknowledged the performance was "not close to what we wanted," stating, "I attribute everything that has gone wrong to coronavirus" —a reference to theCOVID-19 pandemicthat was disrupting daily routines at the time of the launch.[32]Whitman was more positive in her assessment of the launch.[24]

Moves were made to adjust the service by allowing users to share content on social media platforms and to watch shows on televisions in addition to phones.[32]A feature was added to allow shows to be cast from phones onto TVs throughAirPlayandChromecast,with the screen orientation being set to landscape by default.[33]Quibi also developed its ownscreenshottingfunction.[34]

By early June, the company implemented voluntary executive pay cuts.[35]That same month, the service was on track for 2 million subscribers in its first year, far below its projected 7.4 million total.[36]From January to mid-June, Quibi raised an additional $750 million in funding.[14]In July 2020, Sensor Tower reported that about 8 percent of Quibi's early wave of users had converted into paying subscribers,[37]while the subscription analytics firm Antenna reported that 27% of "Quibi day 1, 90-day trial users converted their trials," though Quibi stated that these numbers were inaccurate.[38]

In early August, a free, ad-supported version of the service was released in Australia and New Zealand, and the price of the ad-free version was reduced.[39]According to reports inThe Wall Street JournalandRecodein September 2020, the platform was looking for a potential acquirer with other possibilities, such as raising more funds, or becoming a public company by backing into ashell corporation.The report stated Quibi had $200 million in funds available.[40]

In October, Quibi was made available onApple TV,Amazon Fire TV,andGoogle TV.[41]

Shutdown

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On October 21, 2020, just six months after Quibi's launch,The Wall Street Journalreported that the streaming service was shutting down.[2]Later, that same day, this news was confirmed by both Katzenberg and Whitman. Katzenberg toldDeadline Hollywood,"There was no question that keeping us going was not going to have a different outcome, it was just going to spend a whole lot more money without any value to show for it. So, out of respect for these people that put up this extraordinary amount of capital to do it, that's irresponsible and we both felt we shouldn't do it." In the interview, Katzenberg also cited the unfortunate timing of the launch during thepandemicas a contributing factor.[3]At the time of the announcement, Quibi had approximately 500,000 subscribers.[42]

The announcement of the shutdown left the fate of existing, upcoming, and planned original programming in "development hell",[43]as Quibi does not own the rights to any of their programming, since their deals with the creators of their original programming allowed them to retain the copyright to their content and distribute it in traditional forms after a few years.[44]The next day, on October 22, it was announced that Quibi would officially shut down "on or around" December 1.[45][46]

Fate of the library

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On January 3, 2021, it was announced thatRokuwas in advanced talks to acquire rights to Quibi's library.[47]On January 8, 2021, Roku officially announced that all of Quibi's 75 programs would be streamed on their platform,The Roku Channel.[6][7]Roku acquired the content from Quibi for an amount less than $100 million, with the condition that the content would remain in their short-form format.[5]The shows would be rebranded as "Roku Originals",[48]with 30 of them relaunched on the service on May 20, 2021.[49]

Content

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Main article:List of Quibi original programming

Quibi spent over $1 billion on commissioning original content in its first year, totalling 8,500[50]short-form episodes and including over 175 shows.[51]Unlike many streaming video platforms, Quibi's content was made specifically for mobile devices and could be viewed in either a traditional16:9horizontalaspect ratio,or a 9:16 vertical frame (with the user able to shift between them in the same video). Instead of half-hour TV episodes or two-hour films, content on Quibi was delivered in episodes of 10 minutes or less.[52][53]

Quibi commissioned significant news programming in addition to its entertainment line-up, but it found the news shows attracted minimal interest.[32]

In July 2020, Quibi was nominated for 10Emmy Awardsacross three categories: Outstanding Short Form Comedy or Drama Series, Outstanding Actor in a Short Form Comedy or Drama Series, and Outstanding Actress in a Short Form Comedy or Drama Series.[54]Its series,#FreeRayshawn,won two Emmy Awards on September 20, 2020.[55]

Reed Duchscher,former manager ofYouTuberMrBeast,said his companyNight Mediahad attempted to bring MrBeast's content to the platform, but Quibi rejected the proposal.[56][57][58][unreliable source?]Additionally, Rad Sechrist, creator ofKipo and the Age of Wonderbeasts,said that he and his production team talked to Quibi, but that they passed on the series.[59][unreliable source?]

Reception

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Reactions to Quibi were mixed. While most of the service's original programming received positive reviews, the service itself was criticized for its paid, mobile-only focus that limited its accessibility and reach compared to established, free services, such asYouTubeandTikTok.[60][61]In a November 2020 article for theWall Street Journal,other reasons suggested for the service's shutdown include a misjudgment on which programming and technology features would appeal to young consumers, and a high spend on advertising.[1]The platform's flawed concepts and rapid failure inspired widespread mockery (for example, an extended gag referencing its downfall in the pilot episode of the sitcomRoyal Crackers).[1][8][9]

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Quibi filed a lawsuit against interactive video developerEkoon March 9, 2020[62][63]seeking adeclarationthat Quibi did not infringe on Eko's patented technology, as well as an order that Eko withdraw a complaint filed with Apple'sApp Storeand unspecified monetary damages.[64]Quibi pre-emptively filed its lawsuit,Quibi Holdings, LLC v. Interlude US, Inc.(d/b/aEko),[65]in theUnited States District Court for the Central District of California.Eko filed its own separate but related countersuit,JBF Interlude 2009 Ltd – Israel v. Quibi Holdings, LLC,[66]a day later, alleging that Quibi stole proprietary technology after Eko demonstrated it to Quibi's employees, including Katzenberg.[67]

On May 3, 2020,Elliott Managementannounced that it would fund Eko's lawsuit in exchange for equity in the company.[68]

References

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  1. ^abcdBenjamin Mullin; Lillian Rizzo (November 2, 2020)."Quibi Was Supposed to Revolutionize Hollywood. Here's Why It Failed".The Wall Street Journal.Archivedfrom the original on November 3, 2020.RetrievedNovember 3,2020.Investors who poured $1.75 billion into this idea did so largely because they trusted the gut instincts and vision of Mr. Katzenberg
  2. ^abMullin, Benjamin; Flint, Joe; Farrell, Maureen (October 21, 2020)."Quibi Is Shutting Down as Problems Mount".Wall Street Journal.Archivedfrom the original on October 21, 2020.RetrievedOctober 21,2020.
  3. ^abPatten, Dominic (October 21, 2020)."Quibi's Jeffrey Katzenberg & Meg Whitman Detail" Clear-Eyed "Decision To Shut It Down & What's Next".Deadline Hollywood.Archivedfrom the original on October 21, 2020.RetrievedOctober 21,2020.
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  5. ^abMullin, Benjamin (January 8, 2021)."Roku Acquires Rights to Quibi's Content".Wall Street Journal.Archivedfrom the original on August 21, 2022.RetrievedJanuary 21,2021.
  6. ^abPorter, Jon (January 8, 2021)."Quibi's library will live on through the Roku Channel".The Verge.Archivedfrom the original on September 11, 2022.RetrievedJanuary 8,2021.
  7. ^abSpangler, Todd (January 8, 2021)."Roku Acquires Global Rights to 75-Plus Quibi Shows, Will Stream Them for Free".Variety.Archivedfrom the original on January 8, 2021.RetrievedJanuary 8,2021.
  8. ^abRao, Sonia (July 7, 2020)."The brief life cycle of Quibi, from promising start to industry laughingstock".Washington Post.Archivedfrom the original on May 16, 2021.RetrievedMarch 8,2023.
  9. ^abMangalindan, JP (November 11, 2020)."Quibi Leaders' $1.7 Billion Failure Is a Story of Self-Sabotage".Bloomberg News.Archivedfrom the original on April 11, 2022.RetrievedMarch 8,2023.
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  55. ^"#FreeRayshawn Awards & Nominations".Emmys.September 20, 2020.Archivedfrom the original on October 14, 2020.RetrievedSeptember 21,2020.
  56. ^Pierce, Tanner (October 22, 2020)."Mr Beast was turned down by Quibi before app went bust".Dexerto.Archivedfrom the original on October 22, 2020.RetrievedOctober 22,2020.
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  58. ^Robbins, Blake (September 21, 2020)."I still can't believe @Quibi turned down trying to do a deal with @MrBeastYT. (@reedjd_ is MrBeast's manager)".Twitter.Archived fromthe originalon September 21, 2020. Acknowledged in a reply by MrBeast:MrBeast (September 21, 2020)."If they would have gave me a few million bucks I easily could have broken the internet a few times lol".Twitter.Archived fromthe originalon September 21, 2020.
  59. ^Sechrist, Rad [@radsechrist] (October 22, 2020)."We even talked to Quibi and they passed"(Tweet).Archivedfrom the original on October 22, 2020.RetrievedOctober 30,2020– viaTwitter.
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  62. ^Yasiejko, Christopher (March 9, 2020)."Quibi Sues to Block Patent-Infringement Suits Over 'Turnstyle'".Bloomberg News.Archivedfrom the original on March 27, 2020.RetrievedMarch 12,2020.
  63. ^Alexander, Julia (March 11, 2020)."Quibi is already locked in a legal battle over its rotating video tech".The Verge.Archivedfrom the original on March 12, 2020.RetrievedMarch 12,2020.
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  65. ^"Complaint, Quibi Holdings, LLC v. Interlude US, Inc. (2:20-cv-02250)"(PDF).Court Listener. March 9, 2020.Archived(PDF)from the original on March 8, 2023.RetrievedMay 27,2020.
  66. ^"JBF Interlude 2009 Ltd - Israel v. Quibi Holdings, LLC (2:20-cv-02299)".Court Listener.Archivedfrom the original on July 16, 2022.RetrievedMay 27,2020.
  67. ^Spangler, Todd (March 10, 2020)."Quibi Sued by Eko for Patent Infringement, Theft of Trade Secrets".Variety.Archivedfrom the original on May 26, 2020.RetrievedMay 27,2020.
  68. ^Goldsmith, Jill (May 3, 2020)."Stakes Jump In Quibi Legal Fight As Ellliott Management Finances Eko Lawuit Against Jeffrey Katzenberg-Founded Streamer – Report".Deadline.Archivedfrom the original on May 4, 2020.RetrievedMay 3,2020.
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