Is free streaming dying after the Mometu crash?

Mometu announced last month on LinkedIn that it will be shutting down the streaming service. Mometu has not announced the reason why they’re shutting down, but mentions this will not fully be the end of the brand. Although Mometu did not reveal the reasoning for shutting down the streaming service, this may be the time when other free streamers will begin to fail.

Consolidation

As YouTube is a big player in user-generated content, it becomes harder for some competitors to continue to keep afloat and build a repeatable subscriber base. So, there will be bigger free streamers or media companies that will purchase them to be part of the streaming game. Or grow their subscribers and distribution.

Closures

As Mometu had gained the attraction of subscribers and creators wanting to release their films on the platform, Momentu was still a startup in the early stage phase. Some free streamers are not going to make it even close to the Series B phase, as many barely make it to Series A, able to grow a team and get close to consumers watching their product. Also, some free streamers will fail due to not having a really major difference from competitors, such as many streamers having FAST, licensed movies, and ads.

Source:

Louzil, Bryan.* LinkedIn*