Hulu may soon be selling out. The Los Angeles Times reports the online video service has been approached by Yahoo Inc. regarding a potential acquisition, with reports confirming Hulu has put itself up for sale.
The potential buy comes at a time when Hulu“™s future remains uncertain. The service has struggled to merge its popularity over providing free TV shows, movies and documentaries with a desire to earn profit as a business, recently launching a paid subscription service alongside its extensive free collection.
But its owners-News Corp., Walt Disney Co., Comcast Corp. (an NBC Universal parent company) and Providence Equity-have a history of conflict with Hulu Chief Executive Jason Kilar, arguing the site“™s success undermines the TV industry, particularly since Hulu makes programs available for free that cable satellite and TV companies must pay fees to carry.
Yahoo has not made an official bid, but the company expressed interest in buying the website earlier this year should the opportunity arise. In the meantime, Hulu has retained investment banks Guggenheim Partners and Morgan Stanley to facilitate a potential sale, which would begin in approximately two weeks. Its three owners are seeking to exit the company, and any potential owner needs to guarantee that TV companies-including the three co-owners-continue providing their content.