Verizon, in a rare moment of honest self-reflection, acknowledged today that its Go90 streaming service "did get a little bit overhyped." According to FierceCable, Verizon CEO Lowell McAdam made the remarks during a conference this morning. He added that Verizon contributed "to some extent" to setting these high expectations. It's unclear who else might be responsible for this.
McAdam's comments were meant to tone down the expectations around Go90, which hasn't been the overnight success that Verizon initially indicated it was hoping for. "We didn't believe that it was going to move the needle on [Verizon's overall] $130 billion revenue stream overnight," he said, according to FierceCable. "It's one of those things you have to work into." Verizon has reportedly seen "enough success" so far that it's encouraged to keep working on the service.
"Our expectations are realistic."
Go90 is Verizon's attempt to spin up a streaming service, along the lines of Netflix or Hulu, but designed specifically for mobile (and probably also teens). It's signed a number of major partners to provide video, from YouTube stars to the NBA. The service launched last October. It's not clear how many people are using it yet, and Verizon has previously said that it doesn't expect Go90 to be profitable for at least two more years.
For now, Verizon says its plan is to keep investing in new video content for Go90. "Go90 is in a good spot from our perspective, we're going to continue to pursue it," said McAdam. "But our expectations are realistic."