Quibi launches in 2020 priced at $5/month, $8/month without ads

Katzenberg
Jeffrey Katzenberg (right) is the founder of Quibi. (David Shankbone/Flickr)

Quibi, a short-form, mobile-focused video streaming venture, now has some concrete details about when it will arrive and how much it will cost.

Founder Jeffrey Katzenberg and CEO Meg Whitman said during a conference last weekend that Quibi will launch on April 6, 2020, and have two service tiers. The base tier will cost $4.99 per month, and include one pre-roll ad before each video segment. The ad will be 10 seconds if the video is less than five minutes, and 15 seconds if the video is between five and 10 minutes long. The service will also offer an ad-free option for $7.99 per month.

According to Variety, Whitman said that Quibi will have approximately 7,000 pieces of content when it launches. Series on Quibi will be two-to-four hours long, and will be divided into segments that will be no longer than 10 minutes each.

FREE DAILY NEWSLETTER

Like this story? Subscribe to FierceVideo!

The Video industry is an ever-changing world where big ideas come along daily. Cable, Media and Entertainment, Telco, and Tech companies rely on FierceVideo for the latest news, trends, and analysis on video creation and distribution, OTT delivery technologies, content licensing, and advertising strategies. Sign up today to get news and updates delivered to your inbox and read on the go.

Katzenberg offered some details about how Quibi’s content budget will work. The service will cover costs plus 20% up to $6 million an hour, according to Variety.

RELATED: Deeper Dive—Hopefully, Quibi knows what it’s doing

Quibi also confirmed some licensing agreement rumors that were featured in a report from Digiday last week. The service will hold exclusive seven-year rights to the short-segment versions of programs, but creators after two years will get rights for full-length, non-segmented versions of their products, which they can license to other global services.

Questions still remain about Quibi’s distribution strategy for its service. A report last week from Digiday suggested that Quibi will forego building streaming apps for TVs and focus only on mobile apps. It’s a move that could cause Quibi to miss out on a big potential audience, and hamstring the company even if it’s successful on mobile, according to Colin Dixon, founder and chief analyst at nScreenMedia.

“I understand why they did it, but my gut tells me it’s a mistake,” he said.

Suggested Articles

Altitude Sports is suing Comcast over alleged antitrust law violations.

Xumo, a free, ad-supported streaming video service, today announced it’s adding ABC News Live to its platform in the U.S. and Canada.

AT&T is rounding out the executive team for its WarnerMedia Innovation Lab, which is set to open in New York City in spring 2020.