Leave it to Time Warner to ruin the fun. The company is apparently interested in making a large investment in Hulu, but the company doesn’t seem to show any interest in actually progressing the streaming media landscape. The move could actually inhibit the experience that Hulu users have today.
According to The Wall Street Journal, Time Warner is interested in acquiring a 25 percent equity stake in Hulu, a company currently owned by 21st Century Fox, Disney and NBCUniversal. Here’s where it gets scary, though:
“Time Warner has told the site’s owners that it ultimately wants episodes from current seasons off the service, at least in their existing form, although that isn’t a condition for its investment,” The Wall Street Journal said Monday.
It seems like a really risky move, considering Hulu needs to compete with Netflix and Amazon, among other properties, both of which have increased spending for original content. Netflix will spend $6 billion in 2016, for example, and it’s doing a good job of taking folks away from cable networks – Time Warner’s paying customers. If I was Time Warner, and I’m not, I’d want to foster the growth of consumers looking to streaming options such as Hulu.
The reason Time Warner doesn’t want to do that, according to The Wall Street Journal, is that it doesn’t want to make Hulu so great that folks cut cable subscriptions altogether. It’s a bit of a Catch-22, but Time Warner shouldn’t sleep while Netflix and Amazon continue pushing.