After nearly a week since the rumours first began, rumours are still flying that Google is in talks to buy Hulu, adding the site to its expanding Web TV presence, which also includes YouTube.
The story began on 3 July when unnamed sources told the L.A. Times that Hulu executives were making the rounds, meeting with teams from Yahoo! and Microsoft before getting to Google. The story has refused to lie down and talks are siad to be ongoing.
Disney and News Corp. just added more content to Hulu to sweeten the pot for would-be suitors. Analysts say it could sell for as much as $2 billion.
Hulu is owned by News Corp., Disney and Comcast-NBCUniversal, and was created as an early multiplatform play, a way to bolster advertising revenue by offering broadcast TV programmes online for free. When revenue failed to materialise as well as had been hoped, the site launched a premium subscription service last fall, Hulu Plus, and most hot content has been moved behind its gate. In 2011 year Hulu expects to make around $500 million on the back of 1 million subscriptions, but now, in the era of TV Everywhere, most content companies are looking to cable, satellite and IPTV to help them leverage the multiscreen opportunity.
Michelle Clancy | 07-07-2011