When rich, successful people raise huge amounts of money for undeniably stupid business ideas, there is a natural tendency to assume that it can't be as bad as it sounds. Fight that impulse and remind yourself that the PR people who fed the journalist the story you just read went to great pains to put the best possible spin on the enterprise.
Quibi really was worse than it sounded.
From the LA Times:
Katzenberg and Whitman told investors Wednesday afternoon that Quibi, which raised $1.75 billion to tackle the growing digital video market, will wind down after failing to attract viewers willing to pay to watch its shows, according to people familiar with the matter who were not authorized to comment.
Hollywood-based Quibi, which employed 265 people as of April, plans to use its remaining cash of about $350 million to pay back investors, sources said, a stunning turn of events for a company that promised to transform the entertainment industry.
Quibi said in a statement Wednesday it will close down the business and begin the process of selling off assets over the coming months.
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