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Streaming Failures

15 Failed Streaming Startups & Analyses on Why they Failed

Startups are hard and becoming a successful one is even harder, so here is a list of 15 failed streaming startups that you can learn from.

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There are a lot of things to consider when building a new startup - where to get funding, how to validate your idea, and what features should the product have.

One of the challenges is finding a market that is willing to pay for your solution without even knowing what it is yet.

However, 90% of startups will fail and shut down.

In this article, you can find 15 failed Streaming startups as well as analyses on why they closed down.


15 Failed Streaming Startups

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Crowdmix

Crowdmix

Crowdmix was a music streaming platform where people could listen and talk about their favorite bands. They spent £14M before having a working product.

Details of the startup:

  • Founders:

    Gareth Ingham, Ian Roberts

  • Country:

    United Kingdom

  • Industry:

    Music

  • Started in:

    2013

  • Closed in:

    2016

  • Nº of employees:

    100-250

  • Funding Amount:

    $10M-$50M

  • Specific cause of failure:

    Mismanagement of Funds

You can read more about their failure here.

Grooveshark

Grooveshark

Grooveshark was a streaming music platform. Its major weakness was that it illegally streamed music. They were sued multiples times and had to shut down.

Details of the startup:

  • Founders:

    Andres Barreto, Josh Greenberg, Sam Tarantino

  • Country:

    United States

  • Industry:

    Music

  • Started in:

    2006

  • Closed in:

    2015

  • Nº of employees:

    50-100

  • Funding Amount:

    $1M-$10M

  • Specific cause of failure:

    Legal Challenges

You can read more about their failure here.

Quibi

Quibi

An analysis on why did Quibi, a short-form video streaming platform, shut down despite raising $2 billion from investors and having an experienced team.

Details of the startup:

  • Founders:

    Jeffrey Katzenberg

  • Country:

    United States

  • Industry:

    Entertainment

  • Started in:

    2018

  • Closed in:

    2020

  • Nº of employees:

    250-500

  • Funding Amount:

    > $50M

  • Specific cause of failure:

    Multiple Reasons

You can read more about their failure here.

Radar Radio

Radar Radio

Radar Radio was an online radio station that was the breeding ground for the most talented musicians. It struggled with a debt of £3.6M and they shut down.

Details of the startup:

  • Founders:

    Ollie Ashley

  • Country:

    United Kingdom

  • Industry:

    Entertainment

  • Started in:

    2008

  • Closed in:

    2018

  • Nº of employees:

    10-50

  • Funding Amount:

    $0

  • Specific cause of failure:

    Mismanagement of Funds

You can read more about their failure here.

Rdio

Rdio

Rdio was a music streaming service. Its weakness was the non-existent marketing and distribution strategy. Spotify ramped up and Rdio went out of business.

Details of the startup:

  • Founders:

    Carter Adamson, Janus Friis, Niklas Zennström

  • Country:

    United States

  • Industry:

    Music

  • Started in:

    2008

  • Closed in:

    2015

  • Nº of employees:

    50-100

  • Funding Amount:

    > $50M

  • Specific cause of failure:

    Competition

You can read more about their failure here.

Stereomood

Stereomood

Stereomood was a music platform that provided mood-based song listings. The company was acquired but they weren’t able to make a profit.

Details of the startup:

  • Founders:

    Daniele Novaga, Eleonora Viviani, Giovanni Ferron, Maurizio Pratici

  • Country:

    Italy

  • Industry:

    Music

  • Started in:

    2009

  • Closed in:

    2015

  • Nº of employees:

    10-50

  • Funding Amount:

    No Data

  • Specific cause of failure:

    Acquisition Flu

You can read more about their failure here.

Turntable.fm

Turntable.fm

Turntable.fm was a platform on which DJ and fans were brought together. The cost of running it proved to be too expensive and they had to shut down.

Details of the startup:

  • Founders:

    Billy Chasen

  • Country:

    United States

  • Industry:

    Music

  • Started in:

    2011

  • Closed in:

    2013

  • Nº of employees:

    1-10

  • Funding Amount:

    $1M-$10M

  • Specific cause of failure:

    Bad Business Model

You can read more about their failure here.

Vine

Vine

What happened to Vine?! Why did it shut down? When? Does TikTok face the same risk? Here's our detailed analysis.

Details of the startup:

  • Founders:

    Colin Kroll, Dom Hofmann, Rus Yusupov

  • Country:

    United States

  • Industry:

    Social Media

  • Started in:

    2012

  • Closed in:

    2017

  • Nº of employees:

    50-100

  • Funding Amount:

    No Data

  • Specific cause of failure:

    Multiple Reasons

You can read more about their failure here.

Vreal

Vreal

Vreal was a virtual reality startup that enabled users to interact with content creators. They were ahead of their time in a market not fully developed.

Details of the startup:

  • Founders:

    Todd Hooper

  • Country:

    United States

  • Industry:

    Entertainment

  • Started in:

    2015

  • Closed in:

    Active

  • Nº of employees:

    10-50

  • Funding Amount:

    $10M-$50M

  • Specific cause of failure:

    Bad Timing

You can read more about their failure here.

Cam.ly

Cam.ly

Dane built Cam.ly, a wifi camera that would stream and store video in the cloud. They competed with Google Nest's predecessor but failed to build a polished product before convincing investors to fund it.

Details of the startup:

  • Founder:

    Dane Jensen

  • Country:

    United States

  • Industry:

    Software & Hardware

  • Started in:

    2009

  • Closed in:

    2010

  • Funding Amount:

    < $100K

  • Specific cause of failure:

    Poor Product

You can read more about their failure here.

Gawkbox

Gawkbox

GawkBox was a platform where viewers of live streams could play mobile games to donate real money to streamers. Chris co-founded this as his first startup and he was able to successfully raise $4.4M in venture funding, which the startup invested in marketing until they achieved 500k users and more than $1M in revenue. However, multiple mistakes and a series of reasons led to their shut down.

Details of the startup:

  • Founder:

    Christopher Brownridge

  • Country:

    United States

  • Industry:

    Entertainment

  • Started in:

    2016

  • Closed in:

    2019

  • Funding Amount:

    $1M-$5M

  • Specific cause of failure:

    Lack of Funds

You can read more about their failure here.

Hubrif

Hubrif

Tobi Ogunwande is a Nigerian filmmaker who tried to build the Netflix for African short films as a result of his frustration to find great African movies. He partnered with a technical co-founder and soon after launching, they were seeing an average of 1,000 views on their films. However, they soon realized the market niche was too small and there wasn’t a clear business model. Eventually, they run out of money and shut down.

Details of the startup:

  • Founder:

    Tobi Ogunwande

  • Country:

    Nigeria

  • Industry:

    Entertainment

  • Started in:

    2015

  • Closed in:

    2016

  • Funding Amount:

    < $100K

  • Specific cause of failure:

    Bad Business Model

You can read more about their failure here.

Tandem

Tandem

Tandem was a live streaming platform for fitness. Cause of failure? Live fitness isn't that engaging. Influencers were reluctant to adopt a new platform.

Details of the startup:

  • Founder:

    Nick Raushenbush

  • Country:

    United States

  • Industry:

    Health

  • Started in:

    2016

  • Closed in:

    2016

  • Funding Amount:

    $0

  • Specific cause of failure:

    Bad Market Fit

You can read more about their failure here.

Twitch Highlights

Twitch Highlights

Tzelon and Ron are two developers who came with an idea: creating a tool that allowed Twitch streamers analyze their streams and creating short videos with the best moments. But they failed to build an audience around the product and couldn’t get any customers to keep going with the project.

Details of the startup:

  • Founder:

    Tzelon Machluf

  • Country:

    Israel

  • Industry:

    Entertainment

  • Started in:

    2015

  • Closed in:

    2015

  • Funding Amount:

    $0

  • Specific cause of failure:

    Bad Marketing

You can read more about their failure here.

Yottio

Yottio

Jon was one of the Yottio’s co-founders, a mobile-first tool that enabled video participation on broadcast television. The startup went through all experiences, including making $200k in revenue, spending $150k for operations, a co-founder leaving the business and a $20m acquisition offer. However, Yottio eventually ran out of cash and shut down.

Details of the startup:

  • Founder:

    Jon Lawrence

  • Country:

    United States

  • Industry:

    Software & Hardware

  • Started in:

    2013

  • Closed in:

    2015

  • Funding Amount:

    $0

  • Specific cause of failure:

    Lack of Funds

You can read more about their failure here.

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