![]() ![]() Uptake for over-the-top services has been more anemic than all the online chatter and vitriol against cable companies might indicate. That’s not just a gut reaction from Wieser. “There are a lot of folks doing exactly the same thing, and not many people who want the true cord-cutting experience.” “The problem is, this becomes a me-too offering,” Wieser said. “If Google really wants to take TV dollars, they need to go after that long-form.” “There’s a lot of short-form content out there and most of it isn’t worth anything” from an advertising perspective, Wieser continued. What the company could do in theory is bundle the advertising slots it would get from its programmers’ feeds with its Google Preferred ad inventory. ![]() “From a P&L perspective, it looks like a distinct standalone business they’re building,” he told Variety. A young-skewing digital outlet making a deal with a network that skews the oldest of the four big broadcasters might seem weird on its surface, but Pivotal Research Group analyst Brian Wieser sees a method to it. YouTube just signed a deal to carry CBS, CBS Sports Network, and Pop, the cable network it co-owns with Lionsgate. Not every major network needs to be signed to a deal before launch for these companies, insiders at the companies developing these products told Variety. The Hulu product will be designed to integrate seamlessly with Hulu subscriptions, giving it a potential subscriber pool right off the bat of 12 million.Īnalysts estimate the Hulu bundle will probably cost around $40, though that’s subject to how many of these deals have been completed at time of launch. Turner was one of the first big network groups to sign on, when parent company Time Warner took a 10% stake in Hulu. The company is in advanced talks with 20th Century Fox and Disney, with sources saying the deals are just about ready to sign, and negotiations with other big network groups are also ongoing. Hulu is firming up the programming for its package, which, contrary to popular belief, is not currently called “Hulu Live” when it launches in the first quarter of 2017.
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