The Quibi streaming service has only been around since April, but the brand is pulling the plug. The company revealed the news in an open letter on the website from Jeffrey Katzenberg and Meg Whitman.
In the letter, they directly address why they weren’t successful. They start out by saying, “We started with the idea to create the next generation of storytelling and because of you, we were able to create and deliver the best version of what we imagined Quibi to be.”
“So 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.”
They say that they’ve tried everything possible to make the platform a success, from using the best talent, investors, advertisers, and brands to help create stories and quality content. But it just wasn’t enough. “And yet, Quibi is not succeeding. Likely for one of two reasons: because the idea itself wasn’t strong enough to justify a standalone streaming service or because of our timing.”
They add, “Unfortunately, we will never know but we suspect it’s been a combination of the two. 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.”
They explain that they will now wind down business, return cash to shareholders, and say goodbye with grace. They will also find other homes for some of the content they have created.
They end the letter apologizing for letting everyone down.
To read the full Quibi letter, click here.