$1.75 billion-backed Quibi is reportedly shutting down 6 months after launching

$1.75 billion-backed Quibi is reportedly shutting down 6 months after launching

10/21/2020

Hi! Welcome to the Insider Advertising daily for October 22. I'm Lauren Johnson, a senior advertising reporter at Business Insider. Subscribe here to get this newsletter in your inbox every weekday. Send me feedback or tips at ljohnson@businessinsider.com.

Today's news: Quibi shuts down six months after launching, how Procter & Gamble's ads tackle gender and social inequality, and Vice Media's Nancy Dubuc warns publishers of Google and Facebook's efforts to fund news.

Jeffrey Katzenberg.Daniel Boczarski/Getty Images for Quibi

  • Streaming service Quibi is considering shutting down, according to a report from The Wall Street Journal.
  • The streaming service was founded by former DreamWorks cofounder Jeffrey Katzenberg, and raised $1.75 billion from investors like Walmart, PepsiCo, and Anheuser-Busch ahead of its launch in April. But it failed to attract viewers, and none of its shows have become major hits.
  • The Journal reported last month that Quibi was exploring multiple options, including a possible sale. Founder Jeffrey Katzenberg, the cofounder of DreamWorks, had recently told people he may have to shut down the company, The Information reported on Tuesday.

Read the full story here.

Getty/Phil Cole

P&G's chief brand officer Marc Pritchard lays out how the company is working directly with media companies to address gender and social inequality

  • Tanya Dua reports that Procter & Gamble is pushing ad spend towards underrepresented communities and spending more with minority-focused media companies like an ad campaign called "Circumstances," that was produced by Cartwright and Grey for a BET benefit, Saving Ourselves. 
  • Pritchard said the idea of these ads was to inspire people to take action on social issues. P&G established a fund called "Take on Race" to advance racial equality and equity and partnered with Keith Cartwright, Justine Armour, and John Patroulis to create "The Choice," which encouraged white Americans to be allies to minorities.
  • He also said P&G also has increased its spending on and non-traditional channels like programmatic media and over-the-top streaming video while cutting overhead, media, agency and production costs. 

Read the full story here.

Taylor Hill/FilmMagic

Vice Media's Nancy Dubuc says publishers should be wary of Google and Facebook initiatives to fund news

  • Google and Facebook have been forking over money to news publishers, but Vice Media CEO Nancy Dubuc said publishers should be wary of those moves.
  • Speaking at Business Insider's Global Trends Festival on Tuesday, Dubuc argued that the $1 billion Google pledged is not significant for the media industry and that it's unclear what criteria the tech company is using to feature publishers.
  • She also spoke about how she's diversifying Vice Media's revenue beyond advertising, preparing the company to weather the advertising hit from the pandemic.

Read the full story here.

More stories we're reading:

  • The 3 topics brands ask about when considering TikTok as a marketing platform, according to the company's VP of business solutions (Business Insider)
  • Leaked documents show Amazon is throwing everything at becoming the ultimate first stop for online shoppers — including new search bar features that could add billions in annual sales (Business Insider)
  • 'Biden can fix this mess': Dozens of major news outlets have endorsed Joe Biden for president (Business Insider)
  • Michael Bloomberg held talks to take his media empire public (New York Post)
  • What better ad trends, higher sports costs mean for Hollywood earnings season (The Hollywood Reporter)

Thanks for reading and see you tomorrow! You can reach me in the meantime at ljohnson@businessinsider.com and subscribe to this daily email here.

— Lauren

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