Hulu, the video sharing site which is now fast gaining market share and now stands at No3 in Us and shall soon be No2 according to its speedy growth estimates, just got Another entertainment giant , Disney as an investor. This is again a show of confidence amongst the world majors in Hulu and Disney the third Entertainment major to join Hulu after amongst News Corp. and NBC and ofcourse PE firm Providence Equity Partners. TechCrunch reported that each of these PE firms Now hold nearly 27% each in the company.
Hulu will now Be adding Disney/Abc videos and shows to its distribution now. The video content site has now started to become a lucrative market for the Media companies, as every place on the net that draws users can be lucrative and eyeball grabbing.
The media companies still cant Ignore the No1 Video sharing site Youtube but still if they pbish their content first on Hulu they can have the lead and grow atleast if Not overtake Google’s Youtube.
Other media giants are now at a disadvantage (CBS and Time Warner) as they are not in the place they should be and might startup something of their own or consider joining in. A video sharing site by these in a joint Venture would be real benefit and shall divide the online quality video content market into a fragmented one and a one to be specualted about.
As for Hulu if it thinks it can overtake Youtube at the topslot, it has a LON LONG way to go as it just streamed 380mn videos on the month ending March whereas Youtube’s standings were at 5.9Bn. Thats nearly 15 times more than Hulu. But still having good content andothere business models can get it achieve a much higher growth rate.
