Ad-free music subscription service Rdio is to close its Vdio Internet television service, which launched in April 2013 for Rdio premium subscribers.
A statement on the Vdio website said: “We have decided to discontinue the Vdio beta service.
Despite our efforts, we were not able to deliver the differentiated customer experience we had hoped for. We want to thank all customers who have tried our service, and we have given gift cards to all those who have purchased content or have unused rental content.”
It added that as well as being unable to deliver a differentiated customer value proposition, it could not offer a business model which was attractive to shareholders.
Customers who purchased videos or or have unused rentals will be offered Amazon gift cards in an amount equal to the total cost of their transactions on Vdio.
Vdio was created by Skype and Rdio co-founder Janus Friis in 2011.