Hulu UK has been delayed yet again, this time by disagreements over the kinds of advertising deals UK broadcasters could offer. And with the likes of Channel 4 and Five now offering their content on YouTube and SeeSaw, I’m beginning to wonder if Hulu will ever go international.
Hulu U.S.
In the U.S., Hulu is doing phenomenally well. It hit the one billion video views in a month milestone in December 2009, bringing a great year to an even better close. And 2010 is likely to see traffic increase even more.
This year will also see Hulu likely experiment with a paid subscription model alongside its free model. However, Hulu is currently limited to the States, with those of use who reside outside America blocked from watching content.
What Hulu needs to do is move abroad and go international.
Hulu U.K.
has actually been trying to do exactly that for a while now. With the U.K. chosen as the testbed for a larger international roll-out.
In March 2009 it hired someone to oversee its international operations. And in May Hulu began negotiations with several British broadcasters and content providers. A September 2009 launch was envisioned, though that date came and went without anything happening.
An ITV deal was considered close in August yet Hulu was already extending its launch plan into 2010.
Talks Stall
According to The Telegraph, Hulu has now set its sights on June 2010 to launch in the U.K. But even that seems optimistic considering the state of negotiations with the main channels.
ITV is undergoing a “10 week strategic assessment” and will not be moving talks forward in that time. While Channel 4 and Five are balking at Hulu’s demand that it controls the sale of advertising around the broadcasters’ content.
Both want to be able to sell the advertising around their own content so that they control what advertising appears attached to their programs and retain the majority of the revenues generated. Hulu doesn’t think this will make a U.K. site a viable business for itself.
Competing With YouTube, SeeSaw
The problem Hulu has is one of timing. Channel 4 and Five have signed deals with YouTube and SeeSaw in the meantime, both of which allow them control of their own advertising inventory. Neither will want to give that control up to the new kid on the block.
The bigger problem is, of course, that Hulu has lost the chance to get Channel 4 and Five on an exclusive basis. And if the same content is going to be on the broadcasters own sites, YouTube, SeeSaw, and Hulu, it makes me wonder whether Hulu should even bother trying to get a foothold in the U.K.
