Posts Tagged ‘Hulu’

Hulu and The Walt Disney Company recently announced that Disney, through a subsidiary of ABC Enterprises Inc., has agreed to join NBC Universal, News Corporation and Providence Equity Partners as a joint venture partner and equity owner of Hulu.  This means that Disney now owns 27% of Hulu, the online video streaming web site.  Although Disney will act cautiously when posting traditional cable content to the site, it is the beginning of a very impactful change to the cable industry.  Now that Disney is part of the Hulu family, which includes ABC and ESPN, the content potential is enourmous.  Since Hulu’s business model is based on ads for revenue instead of a subscription cost, it means free content to consumers.  Right now, you don’t even have to register on the site unless you want to watch “R” rated programs.  There is also talk of a premium service offering on Hulu.  I am assuming this means watching the content without the adds, which are required today. I think we are a long way from the masses cancelling their cable service for online alternatives, but there are some that have already chosen that path.  Hulu, along with other alternatives like Apple TV, TV.com and YouTube, is very quickly making the options more viable.  The cable industry is offering intergrated services to add value, such as programming your Tivo with your cell phone or checking voicemail on your TV.  The question is, what will strike a chord with consumers?


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