The veterans of the streaming services Netflix, Disney +, Hulu, YouTube and Tik Tok have an ambitious competitor – the company Quibi, which offered the owners of smartphones and tablets a mobile application with short video content. The total investment in the new project is already 1.75 billion dollars.
Quibi (abbreviated from Quick Bits) is going to fill its broadcasting network with 175 original shows, consisting of 8500 episodes of up to 10 minutes each. In fact, we are talking about streaming content that is small in volume, which will help users pass the time waiting for the train or their turn at the bank. The competitive advantage that Quibi relies on is the ability to broadcast content both in the horizontal position of the gadget and in vertical format.
This strategy is not similar to what, for example, Netflix offers – long-term content that is not suitable for viewing on the go. To promote its project, Quibi is going to use the Hollywood “heavy artillery” in the person of Stephen Spielberg, Reese Witherspoon, Liam Hemsworth and Jennifer Lopez.
Already at the start of the project, the company spends a lot of money on creating original content. According to Variety, this figure is up to $ 100,000 per minute ($ 6 million per hour). At the same time, filmmakers and studios that have submitted their Quibi content will be given back the right to their intellectual property after 7 years. And those who divided their films and shows into small episodes can combine them back and distribute them legally in two years.
The company has already begun to earn by selling advertising services for $ 150 million. Otherwise, she will have to rely on subscribers. A monthly subscription with ads will cost 4.99, and without ads 7.99 dollars.
