Search Results for: hulu paid

Hulu CEO Rethinks the Concept of Ads on Paid Subscriptions

hulu plus

What do Netflix and Amazon Prime have in common? Besides being two of the most popular movie and TV streaming services, they don’t put ads on their shows.

Hulu looks a lot like Netflix. They have loads of new and classic TV shows and movies that you can stream right now, on your computer, your tablet or phone. But with Hulu, you get commercials. Lots and lots and lots of commercials. Three 30-second spots per half hour – which doesn’t sound so bad when you read it but it’s bad when you’ve watched the same ad three times in forty minutes.

But hey, it’s free so they have to pay for the shows somehow, right?

Can Hulu Sustain Free Ad-Supported Content?

Although Hulu has seen great acceptance, popularity and even ad rates—commanding as much as 10% of the online video ad market—it still may not be enough for its creators to call it a success. Hulu may be under more ad pressure than almost any other video site (yes, even YouTube), as Ad Age reports:

Hulu is the No. 2 video site on sheer volume of video views behind YouTube, yet no one is yet making much money from its model: not its network backers, other content partners and least of all Hulu itself, which has a hard time paying for its bandwidth bills.

Hulu Plus: Content at a Cost?

Hulu is second only to YouTube in number of US video streams run on a monthly basis. It has generated more than $100 million in advertising revenue in its short 2-year existence. Walt Disney Co., NBC Universal and News Corp also own it. Maybe having News Corp as part of the ownership team is pushing them toward what many may feel is the unspeakable: a paid version.

The LA Times reports

Television executives don’t want to suffer the same fate as music industry or newspapers, which saw users flock to free access to songs, stories and classified ads online — and revenues plummet.

Pay for Hulu?

image45The aliens over at Hulu don’t just want to eat your brains—they also want to take your money, according to a Daily Finance story yesterday. New CEO Jonathan Miller said:

he envisions a future where at least some of the TV shows and movies on Hulu, the premium video site co-owned by News Corp., NBC Universal and Disney, are available only to subscribers.

Miller . . . prefaced his remark by noting that he won’t attend his first Hulu board meeting until Monday, so the scenario he foresees is merely his own speculation. But, he continued, “in my opinion the answer could be yes. I don’t see why over time that shouldn’t happen. I don’t think it’s on the agenda for Monday [but] it seems to me that over time that could be a logical thing.”

NBC Ditches iTunes

Claiming they’re unable to come to an agreement on pricing, NBC Universal has declined to renew their contract with iTunes to sell downloads of their television shows. The New York Times reports today that NBC, which has provided 40% of iTunes’ video downloads, “is also seeking better piracy controls and wants Apple to allow it to bundle videos to increase revenue.”

Riiiight. Pricing. I totally buy that reasoning, and so does Mike Arrington—NOT. NBC’s crazily-named video site, Hulu.com, launches in private beta in October. I wonder how long it’ll be before they start selling their licensed content there.