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Hulu Plus: Stillborn?

April 22, 2010 11:15:21.255

Looks like Hulu's plan to charge for a premium service might not make it out of the gate - ABC (Disney) is undermining the value:

Citing industry sources, Kafka said that Hulu CEO Jason Kilar "tried desperately to get ABC not to introduce its free app," because ABC giving away free content makes subscription-based access to Hulu on the iPad seem less valuable. ABC obviously did not place much weight behind Kilar's concerns, as the network's streaming application was available on the iPad from day one, and has found great success.

Obviously, ABC is only one content provider - but other networks are going to be pressured into doing the same thing - just like all other digital media, the price tends to fall towards zero. Hulu will need a new plan.

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posted by James Robertson

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