{ "docId": "019dd923-622c-750b-8b98-72ad4dd9da96", "docSlug": "86dfa89096f8", "documentTitle": "Momo, Inc. (MOMO)", "authorId": "54_Spruce_Point_Capital", "authorName": "Ben Axler", "documentKindSlug": "activist-deck", "documentKindLabel": "Activist deck", "sourceTypeSlug": "short_seller", "sourceTypeLabel": "Short seller", "presentationDate": "2018-06-27 00:00:00", "orientation": "landscape", "aspectRatio": 1.3333334, "pageNumber": 62, "pageCount": 70, "prevPage": 61, "nextPage": 63, "slideType": "expose_contradiction", "function": "expose_contradiction", "density": "overcrowded", "nDataPoints": 1, "notes": "The slide uses direct quotes from anonymous industry sources to damage the company's reputation and highlight regulatory risk.", "elementsJson": [ "headline_text", "bullet_list", "callout_box", "quote_block" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-622c-750b-8b98-72ad4dd9da96/62", "deckHref": "/decks/019dd923-622c-750b-8b98-72ad4dd9da96", "deckJsonHref": "/decks/019dd923-622c-750b-8b98-72ad4dd9da96.json", "deckAnchorHref": "/decks/019dd923-622c-750b-8b98-72ad4dd9da96#slide-62", "components": [ { "bbox": { "h": 0.05, "w": 0.21, "x": 0.02, "y": 0.177 }, "kind": "callout", "text": "Image", "attrs": null, "subkind": "primary", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "25507666-87d7-4dce-99f5-1fa2f4b787ea", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.21, "x": 0.02, "y": 0.642 }, "kind": "callout", "text": "New Regulation", "attrs": null, "subkind": "primary", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "97380a63-300c-40e0-bfff-4e2092360a13", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "callout", "text": "Four of the agencies gave the unsolicited opinion that Momo has a reputation as a (sex) cam site. We believe that this has directly contributed to Momo’s advertising woes", "attrs": null, "subkind": null, "toolName": "Visual emphasis", "toolSlug": "visual-emphasis", "confidence": null, "componentId": "019dd953-14dd-72ca-b979-f7ba881e3860", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.09, "w": 0.25, "x": 0.02, "y": 0.03 }, "kind": "image", "text": "Spruce Point Capital Management", "attrs": null, "subkind": "logo", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "d037bcef-b9ee-4fb3-9260-77c58811de0f", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.73, "x": 0.25, "y": 0.18 }, "kind": "list", "text": "Four of the agencies gave the unsolicited opinion that Momo has a reputation as a (sex) cam site. We believe that this has directly contributed to Momo’s advertising woes", "attrs": null, "subkind": "bullet", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "a6b7434e-87d1-4395-a6f1-912273768216", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.06, "w": 0.73, "x": 0.25, "y": 0.645 }, "kind": "list", "text": "Two different agencies spoke about how new regulations have been introduced to “clean up” aspects of Live Broadcasting. The new rules appear particularly relevant to Momo given the sites perceived image", "attrs": null, "subkind": "bullet", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "f5985238-23dc-46d2-abf8-93831707ac17", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.12, "w": 0.73, "x": 0.25, "y": 0.36 }, "kind": "quote", "text": "“A successful broadcaster on Yizhibo would not survive on Momo. Momo is low level. Momo was successful because it was like a porn cam channel. The users were 30 to 50 year old males in second and third tier cities. Their motives were clear. They wanted to see sex performances. Despite being cleaned up Momo is still this sort of channel and encourages people to climax. If Momo can not change directions then it will have a problem.” - Small Agency #9", "attrs": null, "subkind": "testimonial", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "299f731d-493e-456d-9d88-aa311dd1c1ea", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.06, "w": 0.73, "x": 0.25, "y": 0.24 }, "kind": "quote", "text": "“I don’t think Momo will be a long lasting platform as its reputation is not good. In most people’s experience it is a live cam site for sex and this is something it cannot wash off.” Small Exclusive Agent #2", "attrs": null, "subkind": "testimonial", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "3675dac7-9ae2-44c3-be41-bf23ed452ca7", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.73, "x": 0.25, "y": 0.82 }, "kind": "quote", "text": "“Last year was a revolutionary year for our industry. This year is a difficult year. There are more regulatory restrictions on the industry. Some popular broadcasters have been kicked out. They were on the edge of regulations and using words and actions they should not use. There are a lot of restrictions on clothing now.” – Large Agency #6", "attrs": null, "subkind": "testimonial", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "81d81774-c398-4dce-95c8-83b50de8c063", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.04, "w": 0.73, "x": 0.25, "y": 0.31 }, "kind": "quote", "text": "“Momo is good for publicity. Most people think of Momo as a sex site which has predominantly male users.” – Super Agency #6", "attrs": null, "subkind": "testimonial", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "a3395696-5e89-4007-bc50-840a955f17a6", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.73, "x": 0.25, "y": 0.49 }, "kind": "quote", "text": "“90% of the audience are male. They are not interested in art but more about sex. Older men with their families in the US. They are lonely and spend a lot of money each month.” – Large Agency #11", "attrs": null, "subkind": "testimonial", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "efbcd4be-1dd2-450d-a793-d0b0f6c4227e", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.1, "w": 0.73, "x": 0.25, "y": 0.715 }, "kind": "quote", "text": "“There are lots of new restrictions like you cannot show breast area, 2/3 of the breast area must be covered. If you wear a short skirt you cannot drop things. You cannot broadcast lying in bed. There are broadcasters breaking all of these rules. Momo does not try to clean it up unless they are caught because they want the traffic and the money. We do not have that sort of broadcaster on our roster. ” – Small Agency #9", "attrs": null, "subkind": "testimonial", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "f67a2138-8e56-41df-838e-d99c3f0977c3", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "quote", "text": "\"I don't think Momo will be a long lasting platform as its reputation is not good. In most people's experience it is a live cam site for sex and this is something it cannot wash off.\" — Small Exclusive Agent #2; \"Momo is good for publicity. Most people think of Momo as a sex site which has predominantly male users.\" — Super Agency #6; \"A successful broadcaster on Yizhibo would not survive on Momo. Momo is low level. Momo was successful because it was like a porn cam channel. The users were 30 to 50 year old males in second and third tier cities. Their motives were clear. They wanted to see sex performances. Despite being cleaned up Momo is still this sort of channel and encourages people to climax. If Momo can not change directions then it will have a problem.\" — Small Agency #9; \"90% of the audience are male. They are not interested in art but more about sex. Older men with their families in the US. They are lonely and spend a lot of money each month.\" — Large Agency #11; \"There are lots of new restrictions like you cannot show breast area, 2/3 of the breast area must be covered. If you wear a short skirt you cannot drop things. You cannot broadcast lying in bed. There are broadcasters breaking all of these rules. Momo does not try to clean it up unless they are caught because they want the traffic and the money. We do not have that sort of broadcaster on our roster.\" — Small Agency #9; \"Last year was a revolutionary year for our industry. This year is a difficult year. There are more regulatory restrictions on the industry. Some popular broadcasters have been kicked out. They were on the edge of regulations and using words and actions they should not use. There are a lot of restrictions on clothing now.\" — Large Agency #6", "attrs": null, "subkind": null, "toolName": "Authority citation", "toolSlug": "authority-citation", "confidence": null, "componentId": "019dd953-14dd-72ca-b979-f9eb1cbabf88", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.65, "x": 0.31, "y": 0.04 }, "kind": "title", "text": "Key Advertising and Regulatory Findings From Talent Agency Interviews", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "5f8145c2-aa39-4f65-a6ce-230060fa454f", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [ { "name": "antagonist-introduction", "slug": null, "matchId": "d2133f4d-697d-4553-9e4b-fe2853b6421f", "evidence": "The slide frames Momo as a 'sex site' and 'porn cam channel' to establish it as a negative actor.", "confidence": 0.8 } ], "arcBeats": [ { "to": 69, "from": 7, "beatId": "2ed90acb-05ba-4602-8daa-c17fe790841b", "arcName": "Overcoming the Monster", "arcSlug": "overcoming-monster", "beatName": "Expose Contradiction", "beatSlug": null, "evidence": "Slides 7-69 systematically expose contradictions and red flags in Momo's business, including undisclosed charges, complex VIE structure, and regulatory risks.", "position": 2, "confidence": 0.8, "parentBeatName": null, "parentBeatSlug": null } ], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }