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News Corp, Disney discussing Hulu

Hulu

Change could be coming in Hulu's near future.

The streaming service is the target of discussions with Rupert Murdoch's News Corp. and the Walt Disney Company. Apparently both sides are interested in buying out the other's part of the the company. They also have not given up on the option of selling to an outside entity or merely maintaining the status quo.

Each company has drastically different way sit wants to adjust Hulu's business model. Disney wants the site to concentrate on its advertising-supported free service, while News Corp. wants it to focus more on Hulu Plus, its paid subscription service. Each side hopes to buy out the other side and get its way. Either way would casue a majority, as each owns one-third of Hulu, with Comcast's NBCUniversal holding the other third. 

However, NBCUniversal does not get to vote on company decisions, per the Comcast-NBCUniversal deal of a few years ago.

Just two years ago, all three companies considered selling Hulu on the auction block, but instead held on to their shares. The company is preparing for change, regardless, as its CEO Jason Kilar is leaving the comapny soon. 

Hulu competes with Netflix and Amazon.com in the streaming game. Last year it had reported revenue of nearly $700 million.

 


Details
Network:
- NBC
- ABC
- FOX

Written by: Hamatosan
Mar 2nd, 2013, 1:14 pm

Images courtesy of NBC

Anonymous

Message Posted On Mar 2nd, 2013, 5:13 pm
Hopefully something will change. Its subscription based side of the business has ads which subtract from the enjoyment index by about 30%. When I sent a comment to Hulu that I'd pay more for the service if they would eliminate the ads (and I don't believe I was the only one who felt this way) I received a polite reply acknowledging that they understood and maybe it would be an option in the future. I think they have a strong product but they should take a marketing tip from a few of the apps on Android phones. If it's free then it comes with ads. If you pay for it, the ads go away. Even though there were fewer ads on the subscription side and, admittedly, most ads are short by TV standards, the hybrid thing (pay us and we'll still interrupt your show and make you watch ads) just wasn't working for me and after a bit over a year I finally dropped the subscription. The great thing about streaming video is being able to have control over what you watch and when you watch it. Pushing advertisements into the paid service doesn't fit into that model. If I want to be annoyed with ads I'll watch regular TV. If there were only 1 owner in charge it might help them settle, for good or bad, on one identity for the Hulu brand.
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