Quibi is shutting down - The Verge

This is a pretty amazing story. It would be difficult to blow $1.75 BILLION in capital in just 6 months. 💸 They got people to engage, but they couldn't keep any of them.

A report from app tracking firm Sensor Tower back in July claimed that Quibi lost over 90 percent of its subscribers after the initial three-month trial ran out, with just 72,000 of its roughly 910,000 users who had signed up at launch sticking around as paid customers.

Om Malik's take on this is also a good read, Don't be surprised that Quibi failed.

It doesn’t matter how much money a company raises or what valuation it gets. What makes services/apps work and get our attention? They either bring happiness, utility, or both. Value, not valuations is what makes a business work.

Fundamental issue was Quibi just plowed right into an already overcrowded market with no advantage other than some famous names. Having a big wallet doesn't help when the cost of capital for your competitors is most likely lower than yours,.

One of my favorite comments on Quibi was this text reply from my brother-in-law Hector Fernandez, “WeWork Medal of 2020”. 😂