Farhad Massoudi established Tubi in 2014 as an ad-tech platform aimed at assisting studios in monetizing their content. Initially intended as a backend infrastructure for studios, Tubi was set to function as a streaming partner. However, Massoudi recognized that expanding this model, known at the time as AdRise, would be problematic, leading him to shift towards an aggregated white label product via licensing deals. During this period, Netflix was thriving with hits like House of Cards and Orange Is the New Black, setting a high bar for streaming platforms. Massoudi saw licensing as a fundamental aspect of Tubi’s business, aiming to position it as a streaming service with a focus on economical content to maintain profitability. This approach was sustained for eight years.
By the conclusion of 2022, as the era of Peak TV subsided, Massoudi faced questions about Tubi’s future direction and its distinctive path in a crowded market that included major players like Apple TV+, Amazon, and Hulu, along with various niche streamers such as Shudder and Zeus. As the streaming wars approached a conclusion, Tubi contemplated its positioning for the future.
Emulating YouTube, Tubi adopted a model favorable to content creators. J. Christopher Hamilton, an assistant professor of communications at Syracuse University and a former entertainment executive at Paramount Global and Warner Bros. Discovery, described Tubi as "very accommodating" from a content producer’s perspective. Black viewers significantly expanded Tubi’s audience during its rebrand, contributing to its momentum compared to competitors.
In a bid to reposition itself, Tubi capitalized on online viral moments in 2023 with several amateur films gaining traction on TikTok and X. Films with humorous titles like Amityville in the Hood and Cocaine Cougar went viral on social media, driven by a creative group, many from the Detroit area, and all self-funded. Journalist Phil Lewis observed this trend, noting that Tubi had evolved into an outlet for independent Black filmmakers to display their work.
By this time, Tubi had drawn significant attention. The rise of Fox followed a comparable trajectory through strategic programming. According to Hamilton, when Fox launched, it disseminated content catering to Black audiences and resonated within the community. Fox acquired Tubi in 2020 for $440 million. By mid-2023, Massoudi had departed from the company. Hamilton remarked on how both networks experienced success thanks to Black programming and audiences before shifting focus toward broader demographics.
