We’ve mentioned how Hulu lost its way because its owners don’t care if it wins. Now, a single post from Hulu CEO Jason Kilar has dragged that tension into the open . It’s a soap opera that’s worth watching.
Kilar’s comments-that TV has ” too many ads,” that digital TV advertising is twice as effective as traditional TV advertising- may well be interpreted as biting the hand that feeds him. But that assumes Hulu’s being fed. It’s not! It’s a service that runs counter to the main networks’ goals of keeping more eyes glued to their LCDs and plasmas. And their responses, in line with the Financial Times , reflect that:
One person on the point of Hulu said the company’s owners were furious with Mr Kilar. ” If I were given billions of bucks worth of programming, I too could probably build a business,” the person said. ” But I know that if you want to build an extended-term, viable business I’d ought to achieve this in a method that works for everybody.”
Another person almost the placement said Mr Kilar was out of touch with mainstream television viewing. ” These are clearly the musings of an elitist who is obviously disconnected from how the vast majority of America watches television,” said the person.
And you know what? They may be right. Kilar may be out of touch with how the vast majority of Americans watch television today. But his vision of the long run-wherein people get fewer ads, more distribution choices, more power to make or break a series-has already begun to take shape. And the longer content owners (who also happen to be Hulu’s owners) don’t realize that, and adapt accordingly, the more irrelevant they become.
Hulu have to be a shotgun for networks to take advantage of to take on the longer term. However it’s not doing much good without any shells. [ Hulu , FT ]
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