The second most popular video website on the internet, Hulu, has been testing a Hulu subscription service called Hulu Plus. Hulu subscription service will combine the free and paid content models. As a two-year old online , Hulu has managed to be profitable thanks to payday advances from NBC, Walt Disney, and Newscorp, the co-owners of the website. Hulu Plus is being developed because the three owners want to build extra income from this new venture.
Hulu subscription to build on free content
Hulu subscription is prepared to operate in a way that won’t affect how free content is presented on the website. Older episodes and a lot more movies can be accessible to individuals who use the Hulu subscription service. Users will nevertheless be able to look at one of the most recent five episodes of Simpsons, Glee, Lost, Family Guy or no matter what other show they would like.
How much will a Hulu subscription cost?
The price of a Hulu subscription is planned to be either $ 10 or $ 9.95. Right now, Hulu is entirely ad-supported — and brought in over $ 100 million in revenue within the last two quarters. Compared to their usual ad revenue, nevertheless, $ 100 million is barely any money for the three companies that own Hulu.
Will a Hulu subscription replace advertising?
Hulu Plus, the Hulu subscription service, has not yet been officially announced. There are rumors the Hulu subscription service might also reduce or remove the advertisements that support free content on the web site. Hulu presently has about half to one quarter of the advertising load of traditional network television. The advertising load on Hulu free and Hulu subscription will most likely steadily increase until it is about the same as on network TV.
Will cable subscriptions be changed with Hulu subscription?
When Hulu subscription launches, there could be options other than using payday advance companies to pay for cable or illegal downloading of content. There are rumors that Hulu may also be working on an iPad app that will operate without Adobe Flash. A combination of watch-on-demand Hulu subscription service and mobile watching applications means that Hulu might very well be showing television networks their ad-supported model may not have to go the exact same way as newspapers and movie industries.
Resources
LA Times
Wired.com
PC Magazine