The Best One Yet - 👊 “Quibi vs Disney vs Everyone’s Expectations” — Wing’s “X” drone. Exxon’s oil price awkwardness. Quibi’s 1st numbers.

Episode Date: April 13, 2020

We just got fresh download numbers from Quibi and Disney+ — and it reveals how they’re completely different species of streaming. Oil prices surged on a Saudi/Russia kumbaya moment, but it highlights how little control Exxon has over its profits. And Google’s drone delivery startup, Wing, just saw usage double because it’s doing what it always was supposed to do.Learn more about your ad choices. Visit podcastchoices.com/adchoices Hosted on Acast. See acast.com/privacy for more information.

This is Nick. This is Jack. And this is Snacks Daily. Welcome back. It is Monday, April 13. How the time flies when you're stuck in one house for three straight weeks. Basically, Jack and I live in a remote podcast studio. Happened to have a bet in it. I've been wearing three sweatshirts, three flannels. Now, last week was one of the best weeks for stocks since 1974. We're talking the S&P 500 bounced back 12% in four days. That was basically on news that the curve, you know the curve we all keep. talking about. It's getting flattened and that's a very good thing. Staying at home for Couchelle, apparently that's paying off. Jack and I found three wonderful stories. How are you feeling about this one, Jack? I'm going to kick it right off, Nick, because this is the best one yet. Kind of knew who's coming. I like how you led into that one. First story. First story is the streaming worlds. Quibi launched last week and was downloaded 830,000 times in the first three days. And then Disney Plus decided to announce it hit 50 million downloads same week. Not a classy.

moved by Disney showing up quibby like that. But everyone wants you to compare these two numbers, $830,000 with $50 million. But that's like comparing the size of a whale with a tiger. Completely different streaming species. Our second story, Saudi Arabia and Russia's authoritarian oil argument just reached a kumbaya moment. Oil plummeted two weeks ago, then it spiked last week before the weekend. The 23 country agreement that was reached last week shows how we have no control over oil prices. And neither do the energy companies who completely depend on oil. For our third and final story, Wing. Yes. The simple, straightforward name for Google's drone delivery startup. You may remember because we mentioned it on Snacks Daily in a story last fall. Now we want to update you because Wing was

made for this moment. Get this Snackers. Google Save the World projects. They're finally having their moment. But before we get to those stories, Snacks Madness is still happening even though NCAA March badness is. Not going to lie, my bracket completely busted in round number one when sparkling water fell off a tree. Nick was trying for weeks not to talk about this, but we're going to update you because we're down to the grade A. This is the legendary product versus product battle that we whipped up with 32 products over here at snacks daily. Now, Pepsi's sparkling water, which is called bubbly, it was basically like a Kansas or Kentucky number one seed, but it got eliminated in the first round, like by a Princeton or Vermont number 16 out of nowhere. This thing.

think barely limped into the tournament. No, full disclosure, that was Nick's pick to win it all. Yeah, that was a full disclosure. Tesla, meanwhile, upset Venmo, emoji did not see this coming. And then Uber's ride pass, which is unlimited rides for like 15 bucks, I think. It got crushed by the Cinderella story Airbnb experiences. Highly ironic because this entire Snacks Madness, March Madness thing we just pulled off is basically an Airbnb experience next year.

All right, so we just named some winners, we just named some losers. But now there are eight, and we're going to tell you the first. finalists in the final four divisions. Let's start off with the tech and media region. We got Apple AirPods versus Spotify podcast. This is a T-boy matchup. Even your mom's aware these are showing down this week. Dude, I'm going to reattach the cable cord to watch this thing. Wait, Jack, I fell down. And now I've got to get back up. I'm so excited for this one. The second region is food and beverage. And we got Domino's takeout versus Popeye's fried chicken. Honestly, they're both winners. Only one's going to win, but let's be honest,

they're both cultural winners. Flip over to the other side. of the bracket, retail and fashion. We have Costco's annual membership versus Nike's Air Jordan brand. Honestly, the Costco Faithfill whipped out their cards and showed up hard for this one with like a 70 pound turkey. Twitter was rabid with Costco fans. I didn't realize Costco was a cult stock. Now I do. Apparently they were like hoarding the brackets to these guys. And our final region is industrials and financial where we have Tesla Model 3. Beautiful. First, the JP Morgan Chase Sapphire card. Honestly, that Chase Sapphire card, It is a cult. Who here has not been at a dinner where a friends pitched you so they could get 20,000 miles?

That is an epic eight right there, Snackers. You can follow and get in on the action at Robin Hood Snacks on Twitter and vote for the winners of those fabulous four matchups. Snacks Madness, Epic Eight. Let's hit our three stories. You're tuned in to snacks daily. We spoke to the lawyers and we got to get something legal out the way. The snacks about the hair ain't food. It's air candy. They don't reflect the views of the rob of her family. It's all informational just so. You know, we're not recommending any securities. Nope. It's not a research report or investment advice. Not an offer or sale of a security.

Right. Snacks is digestible. Business news for you. Robberhood Financial, LLC, member FINRA slash SIPC. For our first story, Quibi launched exactly one week ago, and we just got the numbers. And we just got Disney Plus's updated numbers too. Kind of awkward, kind of random. Meanwhile, the streaming wars we've told you about,

they're starting to look like a throwback 80s wrestling. ring. Royal Rumble style, we awkwardly got new guys just jumping into the ring and like body slamming each other. Quibi's the ultimate warrior in this case. We're dying to see Jeffrey Katzenberg come out in the leotards, make that a Quibi show. Now, Quibi launched last week with 50 shows on their new streaming service after raising $1.75 billion to finance that. Billion with a B. It was co-founded by Jeffrey Katzenberg of Disney fame and Meg Whitman of Printer Cartridge Fame. Exactly. She's the former CEO of, HB. Now, they're both obsessed with your phone. So they're going to charge you $5 a month if you're willing to tolerate ads, which we do. Or $8 a month with no ads. Here's what's special about Quibi.

It is HBO quality content on your mobile phone. So Jack and I downloaded the app Doven Snack style to look at this thing a little further last week. Now, the fun thing is when you're holding your phone, it's probably vertically. So it's like vertical native. Yep. But you can flip this thing like a 720 in your hand and it will automatically adjust so you can watch horizontal or Boom, Chrissy Teigen's a judge for a show that's only five minute long. You can watch that up, down, wherever you want your phone to be. You flip this thing around. It is seamless technology. Is Chrissy Teigen like a fashion judge? No, she is a literal judge in this one. Apparently the cases are binding. It's both concerning and incredibly entertaining. So she's like sentencing people to like time. She's a big snacker. We'll let her answer these questions directly to us. Oh, by the way, Snackers, if you're not convinced by Nick's description of that flipping and turnstile feature, there is a free 90-day free trial on, Quibi, so try it out and see yourself. And remember, this is only on your phone. No TV allowed. Jeffrey will literally spank you if you try to do this on your TV. This is my big complaint about Quibi. Why don't they let us watch on TV? Like, not everyone is always taking the subway. If you don't believe that

element of Quibi, Jack, you don't deserve the Quibi. We've gone over this many times. So we just got numbers from Quibi's debut week. All right, we got like a drum roll situation here. Jack, Quibby's number one, first day of downloads. What did they hit? 100,000 people downloaded Quibi on day one, Nick, you and me included. That's according to Data Firms Censor Tower. And that launched it up to number three on the Apple App Store after a single day. By the way, number one right now is Zoom. Number two, TikTok. Now, by day three, Quibi had reached 800,000 downloads. Not too shabby, but we got to always sprinkle a little snacks context on these numbers. When Disney Plus launched on November 12th last year, it announced 10 million

signups on day one, including four million app downloads. Quibby's day one app downloads were therefore just 7.5% of what Disney Plus got on their day number one. And Disney's win was even bigger when you include the non-app download signups that happened online because Disney lets you watch on TV if you want. Oh, and by the way, in a highly questionable and obnoxious move, Disney decided to also announce last week that overall they've now hit Disney Plus 50 million signups. Disney announced that right after the Quibi numbers came out. So don't mess with a PR team that's quarantined in the upcott center for weeks. Put that in the books, put that on a t-shirt. So Jack, what's the takeaway for our buddies over at Quibi? This is a new phase in the streaming wars. We have different species.

Snackers, streaming is not a commodity. It is not just a business model and it is not simply about distribution of content. To illustrate, let's talk about Disney Plus, which is TV first. Meanwhile, While Quibi is phone first slash phone only. Disney Plus is a brand extension of Disney's massive media ecosystem. Quibi literally created an entirely new brand out of a made-up word that they created to describe itself, Quick Bites. Quibi, Quick Bites. Back to Disney Plus, it has a deep catalog of content that you have loved since you were a little kid. Quibi had to whip everything up from new. We're talking like a game show where J-Lo gives way $100,000 and then that person has to weigh $50,000. It's all fresh, completely new content.

And then that person has to give away $25,000. And then that person has to give away $12,500. It's a wonderful thing. Now, Disney Plus is meant for long-form, couch-bound, evening-in movie watcher. Quibi is for commuters squeezing in a seven-minute show on the four train as they ride up from 14th to 59 streets. What we're trying to say is Disney Plus and Quibi are a little different. And the streaming wars aren't as simple as just counting up how many downloads.

Don't discount Quibi because Disney Plus got bigger enough. numbers. For our second story, oil prices jumped on a new Saudi and Russia oil agreement. And it shows how little oil CEOs actually control their company's destinies. So true. The last time we covered oil here, Saudi Arabia had just done the equivalent of like throwing its spouses close out the window onto the street. Saudi Arabia was angry at Russia for cheating on its oil pact. So Saudi flipped the table, went nuts and drove prices down the biggest single drop in one day since 1991. Oil companies and oil countries, then they started hurting even harder. We had a real housewives of OPEC situation going on. I never want to see that, but it's highly entertaining.

So last week, 23 nations got together on a classic teleconference, probably Zoom on Thursday. Now, Saudi Arabia was leading a group called OPEC, which is 13 countries. Russia, though, leads 10 Rando countries who are basically doing OPEC light, but technically not in OPEC. Right. Now, some call this group, this 23 countries, OPEC plus, we're pretty much calling it FOPAC. Yeah, OPEC plus sounds like a streaming service. It's kind of like Stanford and Chicago are basically in the Ivy League, but no one's really giving them credit for it. It's not a technical thing. Or like Notre Dame basically being in the Big Ten, but not, that's like Russia with OPEC. So the news when Jack and I hit this pod recording was that 23 countries of F OPEC were all

agreeing to cut oil production in order to boost prices and benefit themselves. Russia and Saudi Arabia, though, they're like the big old siblings leading by example in this case. Saudi Arabia is going to be reducing how many barrels of oil it pumps out from 12 million to 9 million a day. And Rush is cutting its oil production from 10 million barrels a day to 8 million barrels a day. And the other Rando 21 nations are going to combine reduce their output by 10 million barrels a day, which is big. But on Thursday afternoon, the whole deal was dependent on Mexico, which hadn't decided whether it was going to cut production too. And that's because this entire FOPEC situation is not competition. It's completely collusion. This is,

Pure 100% collusion. Either everyone colludes and gets on board or it's every man for himself. You're only as strong as your weakest colluding link. So Friday afternoon, we got an update. Mexico, it's in. They're cutting production too. All 23 countries are cutting production. That should raise prices.

So, Jack, what's the takeaway for our buddies who are colluding in the oil industry? Oil companies have very little control over their performance. It's all about oil prices. Snackers, what makes a great company? Jack and I are whipping this up on the whiteboard. is a great management, factories, workers, product marketing. It's kind of all the above together. That's what leads to great profits for most companies. For oil companies, though, a great company is when oil prices are high, full stop. And that depends on Russia, Saudi Arabia, in these 21 other

Randolpho-Fo-Pek countries. So if you're Exxon Mobil or Chevron or BP, your stock price and profits are very closely correlated to oil prices. And news that the oil countries are cutting supply, which should boost prices, boosted the stocks of those oil companies on Thursday. By the way, Jack knows that during this whole quarantine, I'm reading like a 15,000-page book on John D. Rockefeller. This was the exact same situation facing oil companies back in the 1870s when Pennsylvania was the world's biggest producer. Nick's obituary is going to be like, he almost finished that book. It's so long. Snackers, the pod's about halfway over. So if you're doing a snacks challenge, time to turn around. For our third and final story, Wings drone delivery business,

It's surging right now. And this says something more profound about Google. Back in October 2019, Jack and I were sitting here on the mics talking to you about a little drone delivery startup called Wing. Wing had a test program that got approved by the Federal Aviation Administration back in October. This thing's freaky looking kind of like a remote control airplane had a baby with a Star Wars Imperial ship.

It turns out somebody at Google has a little joystick. They're basically playing a video game. But they're like helping deliver to you English muffins that you'd. don't want to get out of your couch to have delivered. Now, this company partnered with FedEx and Walgreens and started doing delivery in Finland, Australia, and lovely Christiansburg, Virginia. Oh, by the way, Wing, this company we're talking about that makes drones,

it is a startup that is created, run by, and fully owned by Alphabet, which is the owner of Google. Oh, and extra, by the way, that Christiansburg, Virginia is conveniently right nearby the FAA. Now, it turns out drone delivery is a nice concept in the regular economy and regular life. But it's perfect in the corona economy. Wing's original experiment involves sending light, package, and reordable essentials at a cool 65 miles per hour straight to like wherever you and your phone were. And straight through the air. Now they kept it simple with groceries and

medicines only, like toothpaste, toilet paper, and Advil. Perfect because right now in quarantine times, that's like your food pyramid diet. That's why Wing is enjoying significant surge in demand according to PFWTM, aka people familiar with the matter. Remember, life goal, become a PFWTM. According to PFWTM, thousands of deliveries have occurred in just the past two weeks

through Wings drones. Because it's the perfect pastime for a nice little quarantine. Honestly, if I was stuck at home with nothing to do, even if I didn't need something delivered, I would just want to experience a drone coming into the air into my backyard.

We just want to stand on the rooftops and see this thing go. Now also, hilariously, Wing is delivering for one, like, mom and pop restaurant in Virginia called the Mockingbird Cafe. And even the Mockingbird Cafe says they're selling 50% more pastries now thanks to Wing. Seriously, if any snacks listener has ever, like, experienced Wing's delivery, please tell us you took a video and please share it with us. We want to know how they keep the Danish's warm on that thing. So, Jack, what's the takeaway for our buddies over at Wing? Remember Google's saved the world moonshot bets?

they're kind of saving the world right now. Deep in some Silicon Valley uranium protected basement is a special department of Google known as X. Google X is like a big data-infused VC accelerator with unlimited snacks from Google HQ. Here is the mission of X according to X. Launch moonshot technology to make the world a radically better place. Wing is one of those technologies. And back in 2018, Wing graduated from Google's X division to become an official Google money-making subsidiary. And now Jack and I are looking at this and we're noticing

more results evolving out of the X department as well. Verily is a life sciences company that came out of X. They're now building a COVID-19 online database to check your symptoms and get tested. And then of course, you've got a wing now, which is potentially helping older people get drugs without having to leave the home. Next, we're looking at Loon, which is hot air balloons that send down Wi-Fi signal for places that don't have good Wi-Fi signal. This could be really good to connect America's like school-aged kids who don't have connection to Google classroom. Google X is working. Jack, can you whip up the takeaways for us over there to start the week? Quibi got 300,000 downloads on the first day, which is well short of Disney Plus's first day.

But comparing Disney Plus downloads to Quibbys is like comparing Twitter likes to Instagram likes. They're not the same species. No, Twitter likes are much harder to get. I wish my wife would be impressed by my like 47-liked tweet. I literally like my own stuff these days. Second story, Saudi Arabia and Russia called the truce, and they're leading a 23 country-wide effort to cut oil production, aka FOPEC, the 15 million barrel a day reduction. That could help a bunch of oil CEOs get a bonus this year. Third and final story, Wing is the pioneer air drone delivery company, getting your TP way faster than Amazon Prime. And Google's moonshot divisions are having a moment in the coronavirus. Now, time for a snack fact. This one sent in by Sierra Summers in Sacramento

California, legendary snacker who, speaking at Twitter, we tweet with a bunch. Sierra suggested on Twitter the other day, Nick, that we have a like Snacker community Peloton ride in the morning. Jack and I will whip up the takeaways. You guys get into thirds. It'll be fantastic. So Sierra informs us that the digits on a credit card number, they're not random. In fact, the first digit on your card is different depending on the network. This is a mind-blowing situation. A Visa card begins with the number four and then has 13 or 16 digits. MasterCard begins with a 5 and has 16 digits.

AMX begins with a 3 and is followed by a 4 or a 7 or a 15-digit number. And then random Discover cards begin with the 6 and have 16 digits. Nick, I've noticed when you start typing your credit card on like some quick websites. Yep. After the first two digits, they're like, oh, you have a visa. And I'm like, oh. Yes, I do have a visa. Let's slow things down.

I may mix this up on. at the random digit here. Snackers love to start in the week with you. Remember to share your snacks daily on Twitter, LinkedIn, anywhere, Instagram. If you're wondering what to hashtag HY, HY, H-Y, at Steen. Have you had your snacks daily? Everyone should be having some. We'll see you up tomorrow. If you know, you know. The Robin Hood Snacks podcast you just heard reflects the opinions of only the hosts who are associated persons of Robin Hood Financial LLC and does not reflect the views of Robin Hood Markets, Inc. or any of its subsidiaries or affiliates. The podcast is for informational purposes only, is not intended to serve as a recommendation to buy or sell any security, and is not an offer

or sale of a security. The podcast is also not a research report and is not intended to serve as the basis of any investment decision. Robin Hood Financial LLC, member FINRA SIPC.