Business

Streaming service Quibi to shut down: WSJ

In recent weeks, Quibi hired a restructuring firm to evaluate options, which included shutting the company down

FILE PHOTO: Quibi founder Jeffrey Katzenberg speaks during a Quibi keynote address at the 2020 CES in Las Vegas, Nevada, U.S., January 8, 2020. REUTERS/Steve Marcus
  • WSJ reports the shutting down according to people familiar with the matter;
  • Quibi said it intends to wind down its operations and start a process to sell its assets.

Quibi founder Jeffrey Katzenberg told investors that the streaming service is shutting down, the Wall Street Journal reported earlier on Wednesday, citing people familiar with the matter. Quibi said it intends to wind down its operations and start a process to sell its assets, just six months after its launch.

READ ALSO: Quibi hits 1.7 million downloads in first week after launch

In recent weeks, Quibi hired a restructuring firm to evaluate options, which included shutting the company down, the WSJ report said.

“The world has changed dramatically since Quibi launched and our standalone business model is no longer viable,” founder Jeffrey Katzenberg said in a statement.

Quibi offers entertainment and news in episodes of 10 minutes or less on mobile phones, initially promoted for on-the-go viewing.

The company said it would begin winding down its operations and plans to work with its legal and financial advisers over the coming months to dissolve the company and identify a suitable buyer for its assets.

READ ALSO: Quibi launches its mobile streaming service in the U.S.