Cisco is buying Socio Labs for its event technology platform, it said Wednesday, citing the hybrid event model emerging from the pandemic. Combining Socio Labs’ platform with Cisco’s Webex will enable large-scale, multi-session hybrid events and conferences with livestreaming, sponsorship, networking and advanced analytics. The Socio Labs team will join the Webex customer experience team (see personals section of this issue). The deal is expected to be completed in Cisco’s fiscal Q4 ending in July.
Vizio Q1 revenue increased 52% year on year to $505.7 million. Q1 had $453.5 million from device sales (up 47%) and $52.2 million (up 120%) from Platform+, the segment incorporating SmartCast advertising monetization and Inscape automatic content recognition. Vizio shipped 1.5 million smart TVs, up 28% . SmartCast active accounts increased 57% to 13.4 million. Vizio viewing hours gained 42% to 6.95 billion. Profit declined 64% to $3.3 million. “We are very pleased with the results we generated in our first quarter as a public company,” said Chief Financial Officer Adam Townsend. “We continue to benefit from the rapid adoption of streaming and our expanding presence" in ads. Time spent on linear TV declined to 34% from 41%, “highlighting the continued consumer shift toward streaming,” the CFO said. The stock fell 6.6% to $25.60 at 5:48 p.m. EDT.
There’s “strong pent-up consumer demand” to return to movie theaters and “the unique social experience,” said National CineMedia CEO Tom Lesinski on a Q1 call Monday. “Some recent disappointing day-and-date streaming results have many content producers now considering the reestablishment of a new kind of exclusive theatrical window to help launch their films.” The “significant cabin fever” building for more than a year through COVID-19 stay-at-home mandates “will drive consumers back to the theaters,” said ex-Warner Home Entertainment executive Lesinski. “This will once again allow movie studios and even some of the new streaming companies to rely on theaters to launch their films and other content.” Recent studio announcements “reflect a recommitment to new types of theatrical windows for future films,” he said. “Film release delays caused by the epidemic created an unbelievable lineup of big movies from now to 2023.” NCM expects revenue from its in-theater ad platform will begin to “meaningfully increase” in June, since movie attendance won’t “begin to pick up until Memorial Day weekend,” said Chief Financial Officer Ted Watson. “Monthly revenue will still be below 2019 pre-pandemic levels until Q4.”
Of the 42% of U.S. broadband household that don’t own or plan to buy a smart home device, 17% say they would likely buy a cheaper one, reported Parks Associates Monday. "Price is a major barrier to smart home adoption, especially among younger heads of household," said analyst Patrice Samuels. More than 50% of broadband customers who don’t own or intend to purchase a smart home device say they don’t see benefits. "Familiarity with devices is increasing, but value perception is not,” she said.
The ad sales teams of SiriusXM, Pandora and Stitcher will be “unified” under a single “umbrella” organization, SXM Media, said the company Monday. “Audio is experiencing a renaissance with a boom in premium content, spikes in listening, and innovative ad tech fueling the industry, and our powerful portfolio of brands puts us at the forefront of this moment," said SiriusXM Chief Advertising Revenue Officer John Trimble.
Walmart will buy telehealth provider MeMD as a complement to its Walmart Health brick-and-mortar locations, said the retailer Thursday. “People expect omnichannel access to care, and adding telehealth to our Walmart Health care strategies allows us to provide in-person and digital care.” Walmart Health bills itself as offering primary care, optometry, dental and lab services at affordable prices. The MeMD transaction is expected to close in “coming months.” Transaction terms weren't disclosed. The company didn't respond to questions Friday about whether it plans to keep the MeMD branding after the transaction is complete.
Cinemark agreed with Disney, Paramount, Sony, Universal and Warner to theatrically showcase films across its nearly 5,900 U.S. screens, said the theater operator Friday: “These agreements secure a consistent supply of content and demonstrate a shared commitment to offering consumers the ultimate movie-viewing experience, with compelling content exhibited within the theatrical environment,” it said. Each deal “has unique attributes specific to the individual studio that mutually benefits both parties.” Cinemark also extended its "test" with Netflix to include Army of the Dead as its first "wide-release film," said CEO Mark Zoradi on a Q1 call Friday. "We’re the only nationwide exhibitor showcasing the film." It debuts May 14 in Cinemark theaters, a week later on Netflix. Cinemark closed up 5.3% at $21.57.
Connected vehicles sales are on a recovery path, despite chip shortages, reported ABI Research Thursday. Consumers are becoming “more demanding” about in-vehicle infotainment, “driving strong interest in connected vehicles and boosting growth opportunities,” it said. ABI projects 20% growth in connected vehicle sales in 2021 from 2020, and a 10.4% compound annual growth rate through 2026. The recently announced Ford-Google partnership (see 2102010062) “shows a considerable migration to Android OS,” which will have more than doubled penetration in production vehicles by 2024, said ABI: Shipments of vehicles with “connected infotainment” will return to pre-COVID-19 pandemic levels this year.
ParshipMeet Group partnered with TikTok to let members of its MeetMe dating app add videos to their profiles in a TikTok Carousel, they said Thursday. TikTok’s Login Kit helps developers expand reach and boosts exposure for creators, said Isaac Bess, global head-distribution partnerships.
FuboTV is “well-positioned” in the cord-cutter era with its “lead with sports” strategy, Wedbush's Michael Pachter wrote investors Thursday. “We expect cord-cutting and cord-shaving to continue for the foreseeable future, and think that a sizeable portion of the population will grow up as ‘cordnevers,’ preferring customizable bundles of content to pre-determined MVPD programming,” said the analyst, pegging the addressable market at about 30 million, growing at 3 million per year over the next 10. Pachter cited as positives for fuboTV its revenue guidance for 60% growth, “robust” average revenue per user advertising growth during fiscal 2020 and its advances in the sports betting market. The streaming service will launch a free-to-play wagering app in Q3, with a sportsbook to follow in Q4, Pachter noted. It plans to launch a free interactive predictive game initially to subscribers and later to all consumers in Q3 to learn from customer behavior and then tailor a sports wagering product to be offered through its sportsbook in Q4, he said. The sportsbook will likely generate only minimal revenue at launch, but “the creation of a free-to-play product rolled out to all consumers has the potential to drive word of mouth about fuboTV,” which could drive new subscriptions, he said: “We are optimistic that the sports book can drive material revenues and profitability in the next several years.” Wedbush forecasts fuboTV Q1 revenue of $103 million vs. company guidance of $100 million-$103 million when the company reports earnings Tuesday.