Hooq blamed escalating content costs and underwhelming revenue growth as key reasons for the liquidation. The platform had launched in 2015 in several countries including India. According to Crunchbase, Hooq has raised $95 million to date. This includes $70 million the three promoter companies had pumped into it in 2015.
The Hong Kong-based PCCW Media-owned OTT platform Viu had in 2019 pulled the plug on its India operations. Viu’s parent company PCCW was not satisfied with the OTT platform’s performance in the Indian market.
Hooq has appointed Lim Siew Soo and Brendon Yeo Sau Jin as its joint and several provisional liquidators to oversee ongoing operations in the interim period.
Hooq said: “Global and local content providers are increasingly going direct, the cost of content remains high, and emerging-market consumers’ willingness to pay has increased only gradually amid an increasing array of choice. Because of these changes, a viable business model for an independent, OTT distribution platform has become increasingly challenged. As a result, Hooq has not been able to grow sufficiently to provide sustainable returns nor cover escalating content costs and the continuous operating costs of an independent OTT distribution platform.”