Summary: Quibi, the soon-to-be-launched, short-form mobile video, ad-supported, subscription app, has raised another $750M in funding, bringing it’s total investment to $1.75B. The names of the investors and the valuation of the company has not been disclosed. Quibi was founded by former DreamWorks CEO Jeffrey Katzenberg and former HP CEO Meg Whitman. Quibi will launch in early April, and will offer two subscription tiers: $4.99/month for ad-supported and $7.99/month for ad-free. The service gives users ‘quick bite’ (hence the name “Qui-bi”), episodic, video content. Shows fall into one of three categories: ‘Movies in Chapters’, ‘Unscripted’, and ‘Docs’, and all episodes are no longer than 10 minutes each. Stars like Liam Hemsworth, Reese Witherspoon, and Chrissy Teigen will have original shows on Quibi.
In order to get traction, Quibi is spending a lot of money on paid advertising. They ran a 30 second spot during the Superbowl this year. On the flip side, they already have ad spend commitments from major brands like Pepsi and Walmart.
Quibi is entering an extremely competitive streaming video market, against free services like YouTube and IGTV and paid services like Hulu, Disney+, Netflix, and more. They have their work cut out for them.