Quibi shutting down services after six months, what doomed it?

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Struggling pretty much from the word go, Quibi is pulling the plug after only six months of being live. On Wednesday, Meg Whitman and Jeffrey Katzenberg announced they will be kissing their elite pet streaming project goodbye, which has many asking, what went wrong? After-all, Whitman and Katzenberg were able to rustle up $1.75 billion in funding prior to Quibi’s launch. Only an unqualified US president could screw up that kind of surplus going in and both Whitman and Katzenberg are power-businessfolk, right? So what happened? For now, we don’t know, but folks have a lot of plausible theories.

Alas, tragedy has stricken a country full of potential streaming customers: Deadline reports that Whitman and Quibi founder Jeffrey Katzenberg have chosen to dissolve the “quick-bite” streaming service after just half a year—a process that itself could take months. The app was pitched to us as the future of entertainment—but its rise and fall has been primarily defined by schadenfreude.

A cynic might argue that Quibi’s doom seemed inevitable from the start; it is, after all, an app for young “digital natives” designed by two sexagenarian billionaires whose cultural touchstones include Jane Fonda workout videos and the History channel series Grant.

The problems were never just philosophical. When Quibi launched, subscribers found out that the app didn’t allow the multi-tasking more established VOD players, like YouTube, have already made standard. So if you’re watching that Chrissy Teigen judge show, you have to really be watching it. The app also initially prevented subscribers from taking screenshots—effectively crushing any Quibi project’s best chance of getting talked about on Twitter. And that’s saying nothing of the patent infringement lawsuit from the interactive-video company Eko regarding the best part of Quibi’s interface: its seamless orientation-switching, which allows subscribers to watch shows in portrait or landscape mode.

And then came the cardinal issue with far too many nascent streaming services: The shows themselves were largely nothing to write home about. Save for the odd Emmy winner here or a campy Sam Raimi joint starring Rachel Brosnahan as a girl with a golden arm there, Quibi will likely be remembered, primarily, as a microcosm for 2020’s streaming apocalypse: So many platforms, so many shows, so many A-listers—and still, somehow, so little to watch.

In a recent essay, Vanity Fair TV critic Sonia Saraiya noted that streamers have adopted bloat as a convention—flooding an ever-growing number of streaming services with a deluge of series all produced at an increasingly frantic clip.

Quibi’s young user base, millennials, have less disposable income to spend on content that, increasingly, seems designed to exist rather than to enthrall. Many already have at least one, if not multiple, streaming subscriptions—for Netflix, or Hulu, or Amazon, or AppleTV+, or Disney+, or HBO Now, or Peacock.

Quibi never gained any traction with people who had no financial stake in caring about it because it was not designed for them. But it did illuminate a gap that’s become increasingly difficult to ignore—between what industry titans are producing and what consumers actually want.

[From Daily Beast]

I’m sure we’ll be hearing a lot more about the Fall of Quibi. In years to come, our kids will study the Quibi What Not to Do Model in business school. And I’m sure the answer is multi-layered but my money is that the foundation is hubris. The Daily Beast article began by reminding us that when Quibi was launching, Whitman gave a quote to Vulture in which she said:

There’s usually a premium version of what a service is. It often only attracts 5 to 10 percent of the market. Sneakers, bottled water. Water, by the way, is free. People pay for convenience and premium.

[From Vulture]

I think anyone that approaches a streaming service with a country club mentality has already completely missed their mark. Plus, cynical or not, the comment about two sexagenarians assuming they knew all about entertaining dem kidz was pretty spot on, although leave Jane Fonda out of this because if either of those two had asked Jane’s opinion on anything, they’d still be in business. Everything about Quibi shows that whatever research Whitman and Katzenberg did was to talk investors into forking over that kind of cash and swaying the star-power they did, and not any into the audience market they would ultimately be selling to. The fact that you couldn’t multi-task while watching alone was a built-in depth charge.

As for content, that’s a shame. So often I’ve watched a film and thought that it was a ten-minute short that got stretched to a full-length feature. I might get creamed for this, but the best example for me is the horror movie Mama. The original short absolutely *****ng terrified me and the film never even got close for me. So I would love a platform for high-quality shorts, like how Pixar airs theirs prior to their features. But it sounds like Quibi, instead, gave us a bunch of 10-minute duds. As for the Rachel Brosnahan short the article mentioned, The Golden Arm was only ever supposed to be a spoken ghost word story, the ending necessitates it. As a child, it scared me Every. Time. I. Heard. It. The minute you tell it in any other form, you lose it. So like Quibi, Rachel and her Golden Arm were doomed from the start.

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37 Responses to “Quibi shutting down services after six months, what doomed it?”

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  1. dlc says:

    I never even understood what quibi was. A streaming platform for short videos? So, like tick tock except you have to pay for it?

    • lola says:

      Same

    • Miss Margo says:

      Yeah. I always heard of quibi, but never got a clear explanation of what it was. I thought the golden arm video was like an snl skit. I do find it funny when the 1% mess up like that though haha. They are so far removed.

    • megs283 says:

      Same!! I’m not in the preferred market (I’m 37), but all I ever heard of it was in mocking terms. Like oh “Quibi LOLZ”

  2. Chimes@Midnight says:

    What doomed it? People don’t want to pay for something like this. There’s YouTube, Funny or Die, TikTok, Facebook series and videos.

    If they want to stream premium content, Hulu has an app, Netflix has an app, Amazon Prime, Apple TV, Peacock……….

    Also a service catering to commuters when so many were on lockdown was a misstep they couldn’t help.

  3. Anna says:

    Repeat after me, media folk: MILLENNIALS ARE FORTY. They are not young anymore! Stop conflating “millennial” with “young person”.

    • Mrs. Peel says:

      Actually, they are generally between the ages of 22 to 38.

    • AndaPanda says:

      Ha Ha! YES! I saw a commercial with a kid with a skateboard and a walkie talkie and they referred to the kid as a millennial. Lol Millenials have kids that age. No kids for me but I have a mortgage, adult bills and 15 years of work experience in corporate America.

    • megs283 says:

      HEY! I might be pushing 40, but I AM YOUNG, GOSH DARNIT!

    • Korra says:

      Generational dates are always conflicting, but while the oldest millennials may be 40 or encroaching that age, the youngest are still early to mid 20s. Quibi wanted to capture an audience of young, urban, working professionals who were looking to pass the time while commuting to work, ideally on public transit. A portion of millennials still fit that demographic.

  4. theothercleo says:

    I completely agree with that Daily Beast article. It seems that Quibi was the pet project of two old out of touch multimillionaires with no actual understanding of how young people live or what they want from a streaming service. The truth is that I don’t know anyone who would actually pay every month to watch 10 mn videos. This could have maybe find a niche audience but it was never going to be a massive hit. What also striked me as outdated at the time was the amount of money they threw at famous people like Reese Witherspoon to work with them. Sure,big names can help promote a project but the time where people would watch anything because a big star is in it is over (unless it’s Beyoncé). It feels like they constantly promoted the A-listers working with them and not the content they were streaming.

    • SamC says:

      Reese Witherspoon’s husband left his very lucrative gig with CAA for Quibi so that family made some big money in those six months!

    • E.D. says:

      I’ve never watched anything on the platform but that story a few months ago about just how much money Reese Witherspoon made and how her hubby also worked for them and was therefore instrumental in her getting that insanely high amount of $’s, was really damaging for the brand I think?

      And then the stories came out about how poorly paid the lower echelon staff were…….they were doomed from then on.

  5. Chaine says:

    Maybe where she lives, water is free. Most people that I know pay a monthly water bill have to maintain their own well. She is so out of touch.

  6. SmalltownGirl says:

    I didn’t even realize this app existed until now. And I have a lot of streaming services.

  7. Becks1 says:

    There was just nothing about Quibi that sounded interesting to me. Not the content, not the format, nothing.

  8. Truth hurts says:

    I feel the same way about Apple TV! Very limited context and a waste of time. The two best shows I saw were Servant and Truth be Told.

    • Becks1 says:

      I thought that way about Apple TV too, but I think its coming into it’s own. For me though the biggest issue is that you are paying solely for the original content – like there’s nothing else included, no discount on renting movies or tv shows through there, etc. Like with Amazon Prime there’s original content and then the Prime library, with Netflix you obviously have original content and the huge Netflix catalog. Apple plus is just….apple content. So far we’ve liked what we’ve seen (the movie Greyhound with Tom Hanks was really good), but I think they need some more things to really lure people in.

      • Jessi says:

        I got AppleTV+ for free when I got a new phone & I was skeptical at first but… I’ve really liked 3 of the 4 shows I watched! Little Voice, Dickinson and Ted Lasso were all extremely entertaining. Never even used the Quibi free trial.

  9. Izzy says:

    NO ONE:
    ABSOLUTELY NO ONE:…
    QUIBI: Here we are!

  10. Other Renee says:

    Did they think anyone would pay to watch content on a service with a stupid name like Quibi??

  11. Mel says:

    I read a thread about it on Twitter the other day and somebody posted the pictures of all « board » ( I guess?) members. So Much Whiteness. And not one (I think) under forty. Clearly, a huge gap between the target and the creators. It’s not enough to have young kids or nieces and nephews in your environment to help you stay « hip », not when the market is already saturated.

  12. Nina Simone says:

    Even the name was a dud. Wtf is “Quibi”

    • Ang says:

      Short for Quick Bites

      • AMA1977 says:

        I literally found that out yesterday when reports broke that the company was disbanding. I’m not their target market (ancient over here at 43…) but it seems like they did nearly everything wrong, from wasting $1.75 bn to explaining their (stupid) name.

  13. Mumbles says:

    I suspect the short form/phone only format killed it. I think they envisioned people watching Quibi on a bus, standing in line at the supermarket or bank, killing 10 minutes in the car while you wait for your kids, maybe sneaking an episode of something at your office during a break. Thanks to the pandemic, less people are doing those things. Frankly even in a non-pandemic environment, something would have to be really good for me to watch on a phone, and “Chrissy’s Court” wasn’t going to cut it.

  14. Case says:

    They should’ve just put these shorts on YouTube Red or something. A short-form, mobile only platform is not appealing.

  15. Queen Meghan’s Hand says:

    Quibi could have succeeded if they hired the popular content creators of TikTok and Twitter. Some Good News did a great segment on how Quibi was doomed from the beginning. There should be a platform for high quality short form content. But it needs to be run and managed by people who understand short form content, it requires a digital literacy that escapes most older white people.

    • Blairski says:

      Thanks for your analysis here, and also Hecate’s post. As one of the oldest Gen Xers, I know _just_ enough to know that I don’t know _anything_ about Kidz These Dayz and both what and how they consume media. The billionaires who started Quibi could have bought a lot of focus groups for that amount of money. Jus’ saying.

  16. Sorella says:

    I wonder what Reece Witherspoon’s husband John Toth will do – he left CAA agency after 20 years to work at Quibi (why they say Reece got a mega-payout). But now her husband is unemployed that should be interesting to see if she even mentions it. And if she stays married to him!!

  17. Hope says:

    I downloaded only to watch the new episodes of Reno 911. I signed up for the trial and then cancelled when it ran out. While I LOVE Reno 911 I only watched one other show – Let’s Roll with Tony Greenhand. But it wasn’t enough to justify paying for yet another subscription service for me.

  18. ce says:

    It’s pretty easy to figure out why it didn’t work. You want to make series-like content that you can only watch on your phone… but the reason tiktok and others work is because you can half-focus while you’re ACTUALLY watching tv!! You can’t double that up!

  19. laura-j says:

    I had the free too, and it wasn’t good content, at least not content I’d pay for.

  20. Sass says:

    It was a stupid idea. That’s why it failed.

    – The Quibi short explanation

  21. Fatnix says:

    Quibi needed a website. The app helped kill it.