Zillion TV continues to sputter along… Originally backed by a few studios, amongst others, in what sounded like a “Hulu box”, the startup has seen all manner of turmoil. Including blown 2009 launch plans, a restructured sales model, a CEO replacement, and unflattering commentary by pilot testers. However, buried within a lawsuit (more turmoil!), we’ve learned Qwest Communications has thrown Zillion a $10 million lifeline “in return for exclusive rights to offer the IP-delivered video-on-demand service in the telco’s footprint.” Yet, it remains to be seen if ZillionTV will actually launch with any telcos in the second half of 2010 as intended. They could always pull a Vudu and figure out how turn it around. But I wouldn’t bank on it. Qwest didn’t… “[We] made a very small, or immaterial, investment in Zillion.”
That wasn’t a lifeline, and they didn’t just throw it. Qwest invested $10M was back in early 2009. It is mentioned in the lawsuit, but somehow all the media picked it up as a new investment. There is no (new) money.
Hm, I knew it was 2009. I didn’t know it was “early.” Not that my analysis was optimistic…
Moreover, I’ve heard Zillion had $6.5 million in accounts payable when Qwest made the $10m investment. The Zillion stockholders should file a suit against upper management for lack of fiduciary responsibility and possible fraudulent activity.
I had high hopes for Zillion and am one of the few suckers who bought their $99 box.
There is very very little ad supported content. Which is the big draw to Hulu and was my big draw to Zillion. Most of the content is for ‘rent’ or ‘buy’ just like Amazon On Demand. A far wiser choice would be to get a Roku box and then consume via Netflix and Amazon On Demand.
If ZillionTV can’t at the bare minimum provide all TV content as free with advertisements then they will fail. If they can get that rolling then they may have a winning product in their hands. So far I feel like I was duped into buying their product.