To return to a large theme from earlier in the semester, Hulu is a great example of a website that followed the rules from the beginning in obtaining permission for distributing online television shows. Created by people in the television industry, Hulu has survived over the past years and continues to provide credible viewings of online TV shows. Their newest idea, however, is that they are looking to start making original TV shows available on Hulu. Currently and for as long as Hulu has been alive, Hulu plays network TV shows after they have already aired. This change would include them acting more as an actual television network and provide their own shows as well. This article below explains that they are pitching advertisers this week on their original shows to play during the streaming.
I think this is a good business idea for Hulu to expand into this way, but I am nervous for the backlash they may receive from the television networks that they already have relationships with. I could easily see these networks being unhappy because there would be more competition for viewers to visit the site to see their television show. If a viewer visits Hulu and sees that Hulu has a new original show, then they may want to watch it and see if it is good or not. That probably could happen so quickly that the viewer forgets what they originally visited the website for. I do not do a lot of online teleivison streaming so I am probably not aware, but I am not sure if there is another website that television networks can start providing their shows on in an effort to boycott Hulu for adding their own competition. However I could see the networks choosing to cease their relationship with Hulu if this really lowers the amount of viewers for their shows.
What do you think the effects of Hulu’s original programming will be? I could easily see it being a dud due to bad acting or lack of an interesting plot, but if the original programming actually is good how do you think the television networks will react?
This is the article I was referencing: http://www.nytimes.com/2012/04/17/business/media/hulu-the-online-tv-site-adds-original-programming.html?pagewanted=1&_r=1&ref=technology