Rumors Say Apple is the Latest Bidder for Hulu

By Tracey E. Schelmetic July 22, 2011

Like the only pretty girl at a dance, it's starting to look like everyone wants a turn around the floor with Hulu.

The on-demand streaming television service – whose owners are asking for bids – would appear to be attracting interest from all quarters, and today the latest suitor is Apple, says Bloomberg. A number of other organizations have reportedly expressed interest in acquiring Hulu, among them Microsoft, Google, Amazon, Yahoo and AT&T.

Apple currently has rather a lot of cash on hand and a desire to build the kind of service that would compete with Netflix. According to the Wall Street Journal, the purchase of Hulu would consume less than three percent of Apple's cash.

Hulu's current owners, Walt Disney Co., News Corp. and Comcast Corp.’s NBC Universal, are encouraging interested parties to bid on Hulu, dangling in front of them a five-year extension of program rights, including two years of exclusive access, people familiar with the matter told Bloomberg this morning.

“Part of the ecosystem of Apple’s future is to include more video,” analyst Scott Sutherland from Wedbush Securities Inc. told Bloomberg. “It’s something they are focused on.”

Presumably, this is also the reasoning behind interest from all the other suitors, who have all dabbled in – or expressed interest in dabbling in – streaming on-demand video.

Hulu has rights to many popular network and cable television shows. In addition to Netflix, it competes with YouTube, which is owned by Google. Google has been trying to build YouTube up with premium content to be in a position to compete with other streaming video service. Like Hulu and Netflix, YouTube would charge for those offerings or subsidize them with advertising revenue, reported the Wall Street Journal.

Want to learn more about the latest in communications and technology? Then be sure to attend ITEXPO West 2011, taking place Sept. 13-15, 2011, in Austin, Texas. ITEXPO offers an educational program to help corporate decision makers select the right IP-based voice, video, fax and unified communications solutions to improve their operations. It's also where service providers learn how to profitably roll out the services their subscribers are clamoring for – and where resellers can learn about new growth opportunities. To register, click here.

Tracey Schelmetic is a contributing editor for TechZone360. To read more of Tracey's articles, please visit her columnist page.

Edited by Jennifer Russell

TechZone360 Contributor

Related Articles

Will the Next Generation of Computers be Crowdsourced? Maybe

By: Doug Mohney    10/25/2016

If you have any doubts that the world of PC design has stagnated - looking at you Apple, Dell, HP, Lenovo, and whoever else is left standing this week…

Read More

The Cybersecurity Race to Secure the Internet of Things

By: Doug Mohney    10/25/2016

Last week's wave of worldwide DDoS (Distributed Denial of Service) attacks through the use of unsecured Internet of Things (IoT) devices is both distu…

Read More

AT&T Announces Plans to Buy Time Warner

By: Paula Bernier    10/24/2016

AT&T over the weekend revealed plans to purchase Time Warner Inc. in a deal valued at more than $85 billion, driving down both of their stocks and dra…

Read More

Google Adds CBS to its Unplugged Roster

By: Steve Anderson    10/21/2016

Over-the-top Web-based television seems to be the way of the future, as demonstrated by Netflix, Hulu, and a host of developments to follow, along wit…

Read More

A New Stock Price High for Microsoft?

By: Steve Anderson    10/21/2016

It would be easy to think that Microsoft's stock price glory days were behind it, lost with the dot-com bubble and a little song called "Mambo No. 5."…

Read More