Stop Me If You’ve Heard This Before: Hulu Owners Say ‘Nah’

/ Jul 12, 2013

hulu pic jul9

It’s 2011 all over again as Hulu’s trio of owners, 21st Century Fox, Disney, and Comcast, have decided to not sell the video service to any of its suitors. Instead, they will put $750 million into the video company to “propel future growth,” according to the announcement.

The final suitors for Hulu came down to DirecTV and the combination of The Chernin Group and AT&T, as well as Time Warner Cable, which was only interested in buying a stake in the company. The initial list was much bigger, but over the past couple of weeks, most of them dropped out due to various reasons.

In a statement, Chase Carey, president and COO of 21st Century Fox (formerly News Corp.), said: “We believe the best path forward for Hulu is a meaningful recapitalization that will further accelerate its growth under the current ownership structure. We had meaningful conversations with a number of potential partners and buyers, each with impressive plans and offers to match, but with 21st Century Fox and Disney fully aligned in our collective vision and goals for the business, we decided to continue to empower the Hulu team, in this fashion, to continue the incredible momentum they’ve built over the last few years.”

I promise, you are not stuck in a time-warp.

What’s interesting though is the second half of Carey’s statement, about Fox and Disney being “fully aligned” with what they want to do with Hulu. Does that mean more investment in Hulu’s subscription offering (which Fox has notably favored), or the free, ad-supported half of the video service (which Disney has supported)? Comcast/NBCUniversal, the third primary owner, has no operational oversight due to FCC regulations.

What about reports of a mass executive exodus at Hulu due to concerns over the company’s future?

A recapitalization in the amount of $750 million would signal that Hulu owners have a renewed faith in the service.

As for Hulu’s original programming ambitions, if the current trio of owners remain at the helm, it’s likely that original content will continue to be a side-project for the video company. Hulu’s licensing deals for TV programming are its bread and butter. Hulu’s owners want to control who can access their content as much as it’s humanly (or legally) possible. The idea was that a new Hulu owner, which wouldn’t have access to the licensing deals Hulu currently enjoys, would be forced to invest more in original programming. In other words, Netflix’s strategy for the past year or so. That’s pretty much an after-thought right now.

Hulu declined to comment beyond what was announced in the release this morning.

Tags: , , , , , , , , ,


yupptv

YuppTV Partners with Indian Humor Video Aggregator Comedy Munch

 
Yvonne-Strahovski-Chuck-promo-season-2-14

Hulu Adds Yvonne Strahovski (‘Dexter’) to...

 
Alison Brie Community

Allison Brie (‘Community’) to Wrestle for Netflix in...

 
Michael Phelps Facebook Live Rio Olympics

Michael Phelps Tops Facebook Live as It Pulls in 139 Million...

 
Industry Tickets Selling Fast!
Click above to lock in your registration for VidCon 2015!
 
Stand Up to Cancer with YouTube Endemol Shine Group

Brits Stand Up To Cancer with Live-Streamed YouTube Campaign

 
How They Made Fight of the Living Dead Experiment 88

How They Made YouTube Red’s ‘Fight of the Living...

 
More people in the US use Smart TVs than last year

Cord-Stackers Get Most Satisfaction from SVOD Experience

 
BizWireTV Launches on Apple TV, iPhone and Android Devices

BizWireTV Streaming News Show Comes to Mobile

 
Now We're Talking LeBron James Uninterrupted Go90

First Look at Trailer for Go90 series ‘Now We’re...

 
American Gods Amazon Starz

Amazon Captures ‘American Gods’ for Prime Video in ...

 
Digital Domain World Surf League Tahiti

Digital Domain Goes 360 with World Surf League in Tahiti

 
Streamy Awards

Epic Rap Battles and ‘Oscar’s Hotel’ Top...

 
Dose

Dose Hires BuzzFeed and Elite Daily Execs to Build Out Video and...

 
Wong Fu Productions Single by 30 YouTube Red New Form Digital

How Wong Fu Productions Upped Their Game with YouTube...

 
DigitalCabana_Ep4Still

Streaming Businesses Are A Dime A Dozen, Will They Work?

 
DigitalCabana_Ep4Still

Why is Facebook Catching Push-Back from Premium Publishers?

 
SekineRisa_VideoInk_300x250

International MCN’s Are Still Standing —...

 
JW Player

JW Player’s New “JW Showcase” Further Enables...

 
YuYu_VideoInk_300x250

Digital Media Rights Announces Another Streaming Service — YuYu

 
netflix mobile

Majority of Netflix Subscribers to be Outside of U.S. by 2018

 
ComcastWatchable_Exclusives_VideoInk_300x250

Comcast’s Watchable Grabs Exclusive Titles from Cut, Buzzfeed

 
Rupert Grint Wild Target

Rupert Grint to Star in Crackle’s Series Adaptation of...

 
Vaughan Emsley Tongal

Why Vaughan Emsley Left an Old School Ad Giant for...

 
NextVR and FOX Sports to Broadcast Bundesliga Opening Match Live

NextVR Live Streaming Bundesliga German Soccer League Kick-off...

 
Netflix acquires three new indie flicks

Netflix Returning to Canada with ‘Anne of the Green...

 
AOL Alpha VR Virtual Reality

Does the Future of Virtual Reality Sit at Home and Wear a Headset?

 
Udi Jacobi_VideoInk_300x250

Ad Blocking: How Big is the Problem and What Can Publishers Do...

 
Damon Dash Dame Dash Studios Dame Dash TV

Hip Hop Entrepreneur Damon Dash Launches Dame Dash TV OTT Channel

 
Jake Paul

Vine Star Jake Paul to Headline DigiTour’s ‘Team 10...

 
Dr. Havoc's Diary Fullscreen

EXCLUSIVE CLIP: Fullscreen’s “Dr. Havoc’s...

 
Between_Jennette_McCurdy Netflix

Jennette McCurdy Pacts with Canvas Media Studios for Series...

 
John Zhang Indigenous Media

Indigenous Media Hires DanceOn’s John Zhang as EVP of Marketing

 
Jamie Curry WME

WME Signs Kiwi YouTube star Jamie Curry of Jamie’s World

 
Elizabeth Grier Nash and Hayes Awestruck

Nash & Hayes Grier’s Mom Joins Awestruck Network

 
Billy Crudup Stanford Prison Experiment

Billy Crudup joins Naomi Watts in Cast of Netflix’s...

 
Zype

Zype Adds Live Streaming Capabilities for Clients

 
Talking Tom and Friends

‘Talking Tom and Friends’ feat. Colin Hanks Greenlit...

 
eOne Logo

eOne Completes Acquisition of Secret Location Digital Studio

 
Creative Galazy Season Two Amazon

Amazon Announces ‘Creative Galaxy’ Season 2 Premiere Date

 
DigitalCabana_Ep4Still

Digital Cabana: ESPN Goes Over the Top, Investment is Hot, and more!