Quibi, the Los Angeles-based startup and heavily funded streaming video giant and heavily doubted short-form streaming service founded by former Disney executive and Quibi founder Jeffrey Katzenberg and CEO Meg Whitman told on Thursday that a convergence of factors led to the failure of the short-form entertainment service for mobile phones.
Officially it has to wind up the show in just six months after its launch. Quibi had raised $1.75 billion to lavish on Hollywood-caliber shows that few people was used to watch. It has raised nearly $2 billion in funding ahead of its launch in April, but couldn’t deliver on subscribers.
"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's cofounders wrote in a blog post on Wednesday
Expert says, the concept of Quibi was not upto the mark still then it didn't stop it from garnering mega-sized funding from big name entertainment behemoths such as Disney, NBCUniversal, and AT&T's WarnerMedia and producing bite-size films featuring A-list celebrities such as Anna Kendrick, Jennifer Lopez, Kevin Hart, and Chrissy Tiegen.
The reason of the fallout of Quibi is it has entered a crowded market and struggled to peel eyeballs away from entrenched rivals ranging from Google's YouTube to Netflix to TikTok, with Disney, HBO, Showtime, CBS, and plenty others in between.
As per the report, now Quibi was said to be exploring its options, including restructuring or a sale, In its official goodbye, Quibi's leaders said they "will be working hard to find buyers for these valuable assets."
