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UBS: Go90 Will Be “Hard-Pressed” to Compete with Mobile Video Leaders

By Diana Goovaerts | March 11, 2016

Financial services company UBS said Verizon’s go90 mobile video platform will be “hard-pressed to mount a meaningful challenge” to leading competitors like YouTube, Netflix and Facebook.

In a report cited by Investors Business Daily, UBS said go90 is off to a “slow start” but noted Verizon is pulling “various levers” to increase interest in and usage of the service. Just last month, Verizon introduced its FreeBee Data 360 sponsored data service on the platform to allow advertisers to sponsor some or all of a customer’s mobile content. Additionally, the carrier has continued to add new content partnerships to the platform, including live streaming of out-of-market NBA games.

The report, which analyzed app downloads in the iOS app store, found go90’s highest showing to date was at number 300 when up against all other apps in the store and number 20 when ranked with other entertainment apps.

UBS said download trends indicate the platform is doing better with iPhone users but has seen sluggish adoption among iPad users. This, UBS said, is reflective of Verizon’s positioning of the app as a “truly mobile service more geared to short-form content.”

The UBS findings are consistent with statements from Verizon CFO Fran Shammo, who has said go90 will likely not cross the line into profitability for another year or two.

Though Verizon has not released subscriber figures for the platform, Shammo said the numbers have “surpassed what we thought we would have at this time.”


Filed Under: Carriers

 

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