The dominant position of video sharing site YouTube is to be challenged with NBC Universal and News Corporation revealing their combined video sharing service Hulu.com. YouTube has enjoyed a meteoric rise – from its inception in mid February 2005 to its US$1.65 billion sale to Google in November 2006. Hulu is set for Beta release in October and will include:
“Films and television programs produced by the NBC and Fox TV networks and the Universal and 20th Century Fox film studios. Revenue will come from advertising and the sale of program downloads”
Hulu CEO Jason Kilar explains the name Hulu,
“Objectively, Hulu is short, easy to spell, easy to pronounce, and rhymes with itself. Subjectively, Hulu strikes us as an inherently fun name, one that captures the spirit of the service we’re building. Our hope is that Hulu will embody our (admittedly ambitious) never-ending mission, which is to help you find and enjoy the world’s premier content when, where and how you want it”
And unlike YouTube, there are no limitations on what programs can be viewed (YouTube had to shorten programs to abide by copyright laws). Where YouTube, has had some copyright infringement claims made against it, Hulu will have the advantage of owning a vast amount of entertainment programs. The online video store has been tried unsuccessfully in the past. The combination of video sharing and downloadable content for a fee looks like a winning formula.
There is an air of confidence surrounding the yet to be released site with Cisco, Cadbury Schweppes, Intel and General Motors already signed up. YouTube has set the precedent on how to run and provide a successful video sharing service. It would be safe bet to assume that Hulu will make a significant impact on YouTubes popularity and retention.