Tubi announces 2019 expansion on back of record growth | VOD | News | Rapid TV News
By continuing to use this site you consent to the use of cookies on your device as described in our privacy policy unless you have disabled them. You can change your cookie settings at any time but parts of our site will not function correctly without them. [Close]
Tubi, which claims to be the world’s largest ad-supported video-on-demand (VOD) service has announced record growth in 2018 and after hitting a major profitability milestone plans a nine-figure content investment this year.
Tubi 1 OTT 30Jan2019
The service offers over 12,000 films and television shows from nearly every major Hollywood studio and aims to give fans of films and television programmes an easy way to discover new content which is available completely free. Tubi is backed by Foundation Capital, Cota Capital, Jump Capital, and Danhua Capital, as well as strategic investors MGM, Lionsgate, and TEGNA Ventures. It is currently available in the US and Canada, Tubi can be accessed through Samsung televisions, Roku, Amazon Fire TV, Comcast’s X1, iOS, and Android.

Over the past year, Tubi customers watched 4.3 times the amount of content on the service than they did in the previous twelve months and in December 2018 alone streamed nearly as much content as all of 2017.

The service believes that its business opportunity is presented by capitalising on a market dynamic where with linear TV ratings in continuing decline, advertising demand for OTT is strongest from brands replacing lost reach with their TV spend. In 2018, over 1,000 advertisers ran campaigns on Tubi, with the majority of the top CPG and automotive advertisers reaching audiences in the films and TV shows that it streamed. Late last year, Tubi became the third streaming service to be made available on Comcast’s X1 platform, behind Netflix and YouTube.

Tubi marked what it called a major milestone in the fourth quarter of 2018 with revenue growing over 180% annually across 2018, and in that quarter alone, Tubi made more revenue than all of 2017 combined. It says that it will reinvest the profits into additional content acquisitions in the coming year, an investment that will be in the nine-figure ballpark. Tubi recently closed a $25 million growth capital facility with Silicon Valley Bank with the proceed designed to help fund growth across all fronts including content acquisition and marketing.

Among a number of highlights for 2019, Tubi will launch in additional territories outside of the US and Canada with the first expected to be announced in the first quarter. it has also secured an agreement with Rogers Media, one of Canada’s largest media companies, to be the exclusive sales representative for Tubi’s advertising in the Canadian market.

“In 2018 we at Tubi saw tremendous growth as consumers, fatigued by SVOD subscriptions and services, sought alternative entertainment choices,” commented Tubi CEO Farhad Massoudi. “We will continue to use profits to make bigger bets on content, enhance the viewing experience, and continue to press ahead into new grounds in what is our core advantage: technology and data.”