## How Tubi TV Is Capturing "Middle America" With Its Bold $20M Growth Strategy

Tubi TV just landed a fresh $20 million investment, and the company's ambitious plans suggest this ad-supported streaming platform is going after a very specific market segment—budget-conscious cord-cutters who are tired of subscription fatigue.

### The Money Behind the Growth

The funding round, anchored by Jump Capital with support from Danhua Capital, Cota Capital, and Foundation Capital, represents a significant vote of confidence in Tubi's business model. Unlike premium services demanding monthly fees, Tubi TV operates on ad-supported revenue, making free content accessible to price-sensitive viewers. CEO Fahrad Massoudi emphasized that this capital injection will fuel both hiring and audience expansion, marking the company's first major push into coordinated marketing.

### Strategic Positioning in a Crowded Market

What's interesting about Tubi TV's approach is its deliberate focus on "middle class America"—a demographic often overlooked by flashier streaming competitors. Rather than the typical "spray and pray" marketing tactics, the platform is taking a targeted approach to reach users who've already abandoned cable subscriptions but won't pay premium rates for content.

Since launching three years ago, Tubi TV has evolved from hosting primarily B-movies to securing licensing deals with major studios like MGM and Lionsgate. Today, the platform streams mainstream titles including "Gladiator," "The Silence of the Lambs," and "School of Rock," legitimizing its content library alongside the niche fare.

### Momentum That Numbers Suggest

While Massoudi held back specific user counts, he revealed that monthly active users grew ninefold year-over-year—a staggering acceleration. App store data corroborates this growth trajectory; analytics firm App Annie previously noted that Tubi TV was outpacing competitors like Seeso, Crunchyroll, and DramaFever in download rankings throughout 2016.

### Expansion Plans Point to Confidence

The company is ready to scale its current 50-person team and is establishing a new Los Angeles office to complement its San Francisco headquarters, with existing offices in New York and Beijing. This geographic expansion suggests Tubi TV is preparing for the next phase of growth, likely targeting content partnerships and regional marketing opportunities.

For a platform betting on the economics of free, ad-supported streaming in an era of subscription saturation, Tubi TV's strategy of going after cost-conscious viewers with licensed mainstream content appears to be resonating—and this funding validates that approach.