The popular mobile video streaming app shuttered its doors on October 21, 2020 Wednesday, after receiving $1.75 billion dollars in VC (venture capital). The executives at Quibi sent a letter to its employees; that they were shutting down after exhausting all options to keep the company afloat.
Quibi’s investors included WarnerMedia, AT&T, Comcast/NBCUniversal, Alibaba, ViacomCBS, Disney, Sony and MGM. They incurred various partnerships with mobile telecommunications companies, for ex. T-Mobile was a provider. The company also had a large celebrity network promoting their mobile app as well. -SB
1) Many consider the next economic crisis to be the growing profusion of empty retail space, as tenants stop paying rent and reduce their offices, leaving commercial real estate in a pinch. Commercial real estate is in trouble, the $15 trillion dollar market is threatened with decline, and the longer the pandemic persists the more ill effects on hotels, retailers and office buildings, therefore the more difficult it is for property owners to meet their mortgage payments. The widespread downgrades, defaults and eventual foreclosures, coming from companies like J.C. Penney, Neiman Marcus and Pier 1 filing for bankruptcy, has retail properties losing major tenants with nothing to replace them. Motels and hotels are running below 50 percent occupancy, with the stimulus bill having no provisions to prop them up, the government hoping the commercial mortgages will just heal by themself.
2) The Justice Department is accusing the internet giant Google of illegally protecting its monopoly over search and advertising. The company is accused of building an illegal monopoly over parts of the internet. The Justice Department accused Google of building a monopoly over central parts of the internet. The main concern is Google working with other major internet companies to channel the internet to Google’s search engine, as the default search engine, by Google providing the engine to include in other company’s products through exclusive business contracts and agreements. The government contends that Google has used anti-competitive tactics to maintain and extend its monopolies in the markets for general search services, search advertising and general search text advertising which is the cornerstones of its empire. It is considered this will be a major test of the antitrust law. A victory for the government could remake one of America’s most recognizable companies and the internet economy.
3) NASA OSIRIS-REx spacecraft mission has successfully touched down on the asteroid Bennu to bring a rock-soil sample back to earth for analysis. The van-size spacecraft briefly touched down on a landing site the width of a few parking spaces. It collected a sample between 2 ounces and 2 kilograms, then the spacecraft backed away to safety. Bennu is a boulder-studded “rubble pile” asteroid shaped like a spinning top and is as tall as the Empire State Building. If everything runs smoothly, the spacecraft and its prized sample will begin the long journey back to Earth next year and land the sample on Earth in 2023.
4) Stock market closings for – 21 OCT 20:
Dow 28,210.82 down 97.97 Nasdaq 11,484.69 down 31.80 S&P 500 3,435.56 down 7.56