Growing Pains at Hulu
Hulu is arguably the most successful scheme the broadcast networks have devised in many years. It is a roaring success and is already extremely profitable. But, as Mediaweek reports, Hulu’s partners are bickering, and their over-the-air sales staffs are trying to interfere with Hulu’s own ad sales operation. Perhaps it is inevitable, as many believe, that Hulu’s future is in charging subscription fees, but one wonders why Hulu’s owners would move so quickly to dismantle a business model that is working.
Growing Pains at Hulu
Hulu is starting to show signs of why it’s not easy to run a joint venture between competitors.
Recently, the popular video site’s various parents have sent mixed messages about Hulu’s future business model-and whether or not it will erect some sort of paid subscription wall.
Now, reports are bubbling up about an increasing level of discord between Hulu’s own ad sales staff and the staffs of each of the site’s broadcast partners: ABC, NBC and Fox.
Observers predict that the already complicated arrangement is likely to become more so, particularly given the prospect that NBC Universal may be sold to Comcast-which already operates its own online video site (Fancast) and has a markedly different philosophy regarding just how free TV content should be on the Internet.
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