Qualcomm closes up FLO TV

Do you remember back in July when we reported that Qualcomm were looking to sell off their mobile TV unit, FLO TV?

Well, it seems that Qualcomm have given up on the idea of selling it, as — according to Paid Content — president Bill Stone told staff last week that the consumer-direct service will wind down by the end of the year.

The majority of FLO TV’s customers actually come from their “white label” wholesale service, which carriers use to create their own branded mobile TV service. This service will continue for now, however, Qualcomm are in negotiations with AT&T and Verizon about the future of this service.

The most valuable asset that Qualcomm holds is the spectrum that FLO TV operates on — currently valued at $2 billion — and it’s possible that they will lease this spectrum out to other service/content providers.

The demise of the service is blamed on the abundance of video-on-demand streaming services like Netflix and Hulu appearing on ubiquitous handheld devices, and their ability to pick-n-choose content, rather than watch what you’re given.

Paid Content have also heard that Qualcomm are looking at ways to compensate current customers.

[via Mobile Beat]