Hulu, LLC

  • Overview

Hulu is a go-to service for online TV. The company operates an ad-supported website Hulu.com that allows viewers to watch online video content -- TV shows, clips, and movies -- for free. Its premium service Hulu Plus allows streaming of full current and past season content on everything from TV sets and PCs to mobile phones and tablets for a monthly subscription fee. Hulu's programming is provided by more than 400 content companies, including network TV providers ABCFOX, and NBC, as well as film studios MGMParamount, and Sony. Those that have advertised on Hulu since its launch in 2008 include McDonald'sMicrosoftTarget, and Toyota.

Geographic Reach

Hula has double its number of subscribers in recent years. The company now has 4 million paying subscribers.

Operations

Users can choose from more than thousands of current prime time TV shows, movies, and documentaries. While the site is primarily ad-supported, the company also has revenue-sharing arrangements with partner sites such as AOLMSN, and Yahoo!, to which Hulu distributes content. The agreements helped the company diversify its revenue stream.

Financial Performance

Hulu’s sales jumped more than 65% to $695 million in fiscal 2012, driven by advertising and subscriptions.

Strategy

Hulu started charging a fee for expanded access to content through its Hulu Plus service. Hulu Plus also distributes content to mobile devices, such as Apple's iPad and iPhone.

The company faces a challenging media landscape in which consumers have a growing amount of options on where and how to access content. Such challenges are leading Hulu's owners to consider alternative strategies for the video site. The company may change its business model to eschew re-runs in favor of offering live TV channels and video-on-demand content to subscribers, much like a traditional cable network. Another option involved a possible sale of Hulu, but those talks ended in 2011 when Hulu owners decided there was more value in keeping the company.

Company Background

Hulu was launched in 2008 as a joint venture between NBCUniversal (NBCU, parent of NBC) and FOX parent News Corp. (now Twenty-First Century Fox). In 2009 Disney (parent of ABC) became a content partner and 30% shareholder. Disney joined the two other media firms and private equity firm Providence Equity Partners in the new ownership structure. Additionally, the 2011 mega-deal through which cable giant Comcast purchased a majority stake in NBCU from GE gave Comcast a 27% share in Hulu.

▲ Show Less▼ Show Full Description

Company News and Press Releases

▲ Show Less▼ Show More News and Press Releases


Hulu, LLC


2500 Broadway
Santa Monica, CA 90404-3065
Phone: 1 (310) 571-4700
www.hulu.com

STATS


  • Employer Type: Joint Venture
  • CEO: Jason Kilar
  • Senior Vice President, CFO: Tom Fuelling
  • CEO: Jason Kilar

Major Office Locations

  • Santa Monica, CA

Become a Vault Basic Member

Complete your Vault Profile and get seen by top employers