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Cable Technology Feature Article

September 06, 2011

Google Could be a Surprise Hulu Bidder

By Gary Kim, Contributing Editor

Google CEO Larry Page reportedly has some "big ass ideas" for what to do with Hulu (News - Alert), if it is allowed to bid, and emerges as the ultimate winner of the Hulu sale. Keep in mind that Amazon, Dish Network and Yahoo are the three firms reportedly in the auction. 

Google (News - Alert) might not yet have submitted a formal bid, but seems to be interested in a different sort of deal, and appears willing to pay much more than the other bidders to win Hulu, AllThingsD reports. That perhaps involves a deal that gives a Google-owned Hulu access to more content, for a longer period of time.In other words, rather than bid on Hulu, Google has proposed a different acquisition, on a larger scale, say people familiar with the sales process. 

“Normally we would have thrown people out if they’d said that,” says an executive.  But Google apparently has “indicated that there’s enough money” involved so that Hulu’s owners are at least thinking about continuing the discussion. That novel approach is one indication of growing background factors that will help shape the speed at which a “digital transition” happens, in the sense of availability of professional video content that today primarily is sold by cable operators, telcos and satellite TV companies. 

One would only have to note the interest expressed by Dish Network, reportedly one of the top three bidders, in that regard. Dish Network seems to believe that the transition to online and mobile delivery formats is inevitable, and will represent a siphoning of revenue from linear video delivery to online and mobile substitutes.

Want to learn more about the latest in communications and technology? Then be sure to attend ITEXPO West 2011, taking place Sept. 13-15, 2011, in Austin, Texas. ITEXPO (News - Alert) offers an educational program to help corporate decision makers select the right IP-based voice, video, fax and unified communications solutions to improve their operations. It's also where service providers learn how to profitably roll out the services their subscribers are clamoring for – and where resellers can learn about new growth opportunities. To register, click here.

Gary Kim (News - Alert) is a contributing editor for TMCnet. To read more of Gary’s articles, please visit his columnist page.

Edited by Juliana Kenny