Roku Acquires Quibi’s 100M Channel
Roku has acquired the content licensing rights for more than 75 shows from defunct streaming service Quibi. The deal will put Quibi’s content on Roku sometime after 2021. The Wall Street Journal reported in June that the company had been on track to sign up less than two million subscribers in its first year. That’s around 30% of its original target. In this article we will discuss each point of quibi 100m channelstreetjournal in details so if you want to know more just read whole article.
Roku acquires content licensing rights to more than 75 shows from defunct streaming service Quibi
The defunct streaming service Quibi has found a new home on Roku. The streaming device will be the exclusive global distributor of more than 75 Quibi shows. The service was launched in April by Jeffrey Katzenberg and Meg Whitman, but shut down due to a coronavirus pandemic in October.
The company says it will start rolling out Quibi’s content over the coming months. While this acquisition will not happen overnight, it’s a significant milestone for the company, which is one of the top players in the streaming space. The move will provide a huge boost to the Roku Channel’s on-demand content, which boasts more than 40,000 movies and 150 live linear television channels.
The acquisition of the content licensing rights to more than 75 shows from Quibi is a win-win for both parties. The original content for Quibi was produced specifically for mobile devices, but it will now play well on a larger screen. While Quibi didn’t produce many breakout hits, there’s a chance that shows starring A-list stars might find a new home on Roku. With a network reaching 61.8 million users in the U.S., Roku has the scale and advertising power to make its content popular.
The company has not yet disclosed the terms of the deal, but sources say Quibi’s content library is worth less than $100 million.
Company shuts down after seven months of operation
After seven months of operations, Quibi has canceled its service and returned all of its remaining funds to investors. Quibi had failed to attract enough subscribers to make its $4.99-a-month service profitable. The company’s app also lost ground in Apple’s and Google’s app store rankings. The company originally projected 7 million subscribers within its first year, but as of a few weeks ago, it had only about half that many.
The company’s failure to attract viewers came as a shock. It had promised to bring a new dimension to streaming videos, attracting Hollywood stars. Its service served up videos in five to 10-minute “chapters” and was optimized for smartphones. But Quibi had difficulty keeping up with its hype, and its owners faced a lawsuit from an aggressive, well-capitalized competitor.
Quibi has decided to sell its tech assets and content licenses. With the Roku deal, Quibi’s foray into short-form content is over. It also plans to sell its content library to other streaming services. The company raised $1.75 billion before launching, including investments from Disney, Lionsgate and the BBC. But its business model failed to attract a wide audience. The company will now focus on selling off its assets and finding a new home for its technology.
Quibi has a talented roster of stars and celebrities. Famous faces have appeared on the platform, including Chrissy Teigen, Dwayne Johnson, Liam Hemsworth, and Chance the Rapper. Quibi has also partnered with filmmakers like Steven Spielberg, Guillermo del Toro, and Catherine Hardwicke.
Content to be available on Roku in 2021
Roku has acquired the rights to Quibi’s library of content. The content will be free to watch on the Roku channel starting in 2021. The network has already raised more than $100 million from investors, which it will use to produce more than a dozen new shows. These will include documentaries, scripted series, and reality shows.
Roku has been experimenting with original programming since last year when the company acquired Quibi Holdings. It was an opportunity for Roku to integrate with Hollywood’s top talent. In the past, the company had tapped into some content, but it didn’t own much IP. It would have cost more than $100 million to acquire those rights, but Roku was able to pay a fraction of that amount and roll out new shows. Still, executives at the company hesitated to say that the acquisition of Quibi signals a huge shift in strategy for Roku.
Roku, as the name suggests, offers streaming hardware and software. Many consumers rely on Roku for streaming television, but the company has also developed a platform called Roku Channel to aggregate entertainment content. Roku earns more money through the platform business than from hardware sales. The company estimates that 80 million Roku users will own their own Roku devices by 2021.