Will Hulu Require a Cable TV Subscription Soon?

There's quite a bit of buzz about Hulu and a new requirement that the customer also subscribe to cable TV. TechCrunch cites a source at Hulu on the topic:

We just talked to a source close to Hulu. According to our source, Hulu and its content providers have talked about this move toward authentication since 2009. Our source noted that Hulu has no interest in being a first mover here and that a requirement for authentication is likely still a few years out. Hulu, however, does want to be a good partner and may have to give in to its partners’ pressure soon or later. Even though an authentication requirement isn’t likely to happen right away, though, our source notes that what could happen relatively soon is that the content providers could require longer delays before their shows become available on the service for non-subscribers. Cable subscribers, under this model, would get access to a show on Hulu the next day, while non-subscribers would have to wait at least 30 days. This model would likely also apply to Hulu Plus subscribers.

So much for using Hulu to replace cable TV...

Thanks to FearNo1 for sending this in.

Comments

[CordCutter]

"would likely also apply to Hulu Plus subscribers."

I just can't see this happening, it would likely kill that customer base, which by one count had 2 million subs. Even if you have Cable/Sat, not all providers are quick/efficient at getting these things going. You're going to massively P-Off your customer base if you don't have EVERYONE ready to go from launch. ShowtimeAnytime.com only has 3 providers (1 is still in Beta) and it's been live for months. To get all of the providers together (or atleast the majority) and synced up with all the content producers would be a massive undertaking.

As I said in another thread, I sub to Hulu+ and basically use it like a DVR. I occasionally watch it on a mobile device, but that is rare and not very important to me. If they make this move I will just have to start using the TV tuner on my HTPC and PVRing what I want to watch.

[troll]

that would be great..
wait i canceled hulu plus because it's boreing

[Tomguy]

My cable co already has on-demand. It has many next-day programs.

I don't see any gain for Hulu by requiring a cable connection -- unless they are negotiating to replace the cable OD with themselves.

[Turkey]

Longer delays would only mean more people would watch it illegally and Hulu would lose revenue. The genie is out of the bottle, Cable is dying and Hulu can either make money from showing me ads or I will find another source as I currently do for showtime and HBO shows. I want to watch shows not channels.

[Ryan]

If I had cable, I would have no reason to have Hulu plus. I think they're going to lose their customer base if they make this move.

[Robert Emmerich]

I have cable. Basic $15 a month digital cable, so I'm guessing I would be excluded.
They already have Hulu and Hulu+ divisions, now they want to throw cable/non-cable subscribers divisions on top of that, so 4 sets of show availability? Way to simplify things.
I almost signed up for Hulu+ yesterday to watch Grimm in HD on my PS3, the first show I've watched that is Hulu+ available. But to my surprise only the first 14 episodes are available on Hulu+ (1-14), not the last 5 (15-19). What the heck is wrong w/ these people?!?!
http://www.hulu.com/grimm

[Nick]

I don't understand what Hulu's target audience is. Originally I understood it to be those that didn't want to pay the price of cable but still had a few shows they wanted to watch on a regular basis. That doesn't make sense with this move though because now it looks like it's targeting an audience which is happy to pay cable prices don't want to watch their shows on cable? This makes no sense. What am I missing here?

[moviegeek]

Yeah I don't understand the reasoning here with the delays, if I have a cable/sat and a DVR then Hulu Plus is irrelevant. On the bright side I read an article that CBS is thinking about adding their content to Hulu Plus because of the new policy.

http://www.homemediamagazine.com/cbs/ceo-moonves-taking-second-look-hulu-27139

[gir]

"If they make this move I will just have to start using the TV tuner on my HTPC and PVRing what I want to watch."

You should, even if you keep using Hulu+. When a show is available OTA I always prefer recording over streaming, always. The video quality is great and the PVR player has superior features (rewind, fast forward, commercial skip, etc.).

[CordCutter]

Fox all ready has an authentication window. I believe it is 8 days....(?) Hulu Plus jacked up Bobs Burgers. They were delaying episodes 8 days and had a message stating Dish Subscribers could authenticate and get it 24 hours after original airing. I thought this was odd, that 1 and only 1 provider would get it next day. I contacted them and stated my frustration and told them if this is going to be a regular occurrence and if other shows were going to be following I would cancel my service. I told them it made no sense for me and I would pull them down OTA and PVR them. They responded quickly, apologized, gave me a weeks credit and informed me it was a glitch on their end and they were working toward a resolution. 3 weeks later it was fixed and episodes were available next day on Hulu Plus. If Fox all ready has an 8-day window that window does not currently apply to Hulu Plus customers. I'm gonna contact Hulu support about the industry rumors and voice my dissatisfaction with the idea and make them aware I will gladly cancel if the change is made. I hope everyone else on here does the same!

On a side note, I'm not sure what they can do about it after the fact, but I think the FCC might pressure them to not go this direction. There is a reason they took away Comcast's vote on all things Hulu related during the NBC-Comcast merger.

[Marshall]

I understand their concern. I disagree with it, but understand it. It comes down to two things

1- you can't police devices anymore. HTPCs and other devices have destroyed the line between TV and computer

2- the networks get a kick back from the cable companies due to 80s era legislation requiring the cable companies to get permission to carry programing even if it's free over the air.

Free Hulu is too good to be true from the networks standpoint. It's destroying viewer numbers. Hulu Plus however is a paid subscription model and offers higher revenue. The end result is you either pay for cable or pay for Hulu. If that brings CBS on board I say go for it. People with free accounts will either have to live with a delay or pay for Plus service.

[CordCutter]

Marshall - That's the kicker though bud, from all reports the long delay would ALSO apply to Plus subs. But if you authenticate via a provider it's 24 hours later. Doesn't make sense, I know, but those are the reports. Check out the last sentence in Mike's paragraph above.

Cable companies want their cake and ice cream too. Check out every provider's Q1 reports (Cablevision just released theirs today), they are losing video subs but GAINING voice/data subs. These companies aren't losing customers, 2 of 3 of their arms are gaining subs each quarter. But they're obsessed with the one arm that has made them rich for decades.

[BigSaltyDookie]

So basically Hulu is looking to revitalize the piracy industry? People aren't going to subscribe to cable.. they're going to his up torrent sites. Bold move, Hulu.

I've also noticed Hulu Plus is showing more commercials lately. It used to be like 45 seconds of commercials and now it'a been a minute and a half to two minutes.

[Greg]

I have been using it for over a year. Not quite as good as cable, but for the price you can't beat it. I would recommend it.
Satellite Direct

[Allison]

We tried Satellite Direct it and didn't have any luck. We kept getting dropped signals and then it would take up to 5 minutes to reacquire the signal. We finally got a refund after 5 emails and three weeks. I've had much better luck with Project Free TV.

[Tom vT]

It looks like the TV industry is going to be just as clueless as the Music industry was. The technology used for the distribution of their content is the the process of fundamentally changing forever. It is early days yet, but in 10 years or less most content will be distributed via The web for much cheaper prices then cable. Those that figure that out will make millions, those that don't and cling to the old distribution models will slowly die. Requiring a cable subscriptionj is the idea of someone that is clinging to the old model, If Hulu requires a cable subscription the service will die, it is that simple.

[Art Artistry]

I love all the people who are whining about hulu doing this. You're the same people who probably complain to your friends and call netflix because they don't have every episode of every show. Hulu is going to do what it has to do to stick around, they aren't just making changes because they want to. They clearly have a model that is working and has them bigger then ever before. But just like Netflix, they don't hold their fate in their own hands fully. Tell me if this sounds reasonable to you:

"Hey Netflix, I like your service, but if warner bros doesn't give you vampire diaries season 3 on streaming the moment they finish filming the last episode then I will cancel my service."

All you're doing is bitching at some poor kid over something he, and the company he is representing have no control over.

[CordCutter]

Art, Over the Air networks are heavily govt. subsidized. You, me and everyone else here has given them billions via our tax dollars. Here is a little breakdown of their lobbying and the money they have gained via it:

http://www.niemanwatchdog.org/index.cfm?fuseaction=background.view&backgroundid=00363&stoplayout=true&print=true

With the ever changing technological landscape it wasn't envisioned that TV shows would become available online at the time the above steps cited in the article were going on. Now they are. Shows that are OTA, from networks via OTA are going to be restricted to cable-only customers. It wouldn't be a stretch to argue these Networks/shows aren't partially owned by the general public given the billions we have given them. As I am stating and others on here, it is just extremely shady and dirty to limit free OTA content online to paying cable providers when these networks/shows were built, strengthened and solidified by our tax dollar. I don't like the precedent, what's next Comcast-NBC going to us authenticate as cable-customers to view your local NBC News Affiliate's site? I'm not sure that's a stretch by any means.

[Rich Moore]

Although it sucks, I can live with a small delay with hulu free. Since I am paying for Hulu Plus, however, a delay is unacceptable.

The only issue is that hulu has no competitors (except buying episodes individually.) I can scream and stamp my feet, but it won't be of any use until the hulu monopoly is broken. I doubt the tv industry would allow any other service however.

At the end of the day, it makes piracy a more attractive option for many people.

[Judy__]

I would not buy cable tv just for the 3 or 4 shows I catch on Hulu.

TV execs must be really worried about losing power to have to kill the competition (NF and Hulu) instead of improving their own programming.

[Art Artistry]

@Cordcutter you're missing my point. I'm not arguing anything you just said. What I'm saying is that it doesn't make sense to go to Hulu and start bitching at them. What is that going to help? Hulu isn't Comcast, and if they have to do something like that it's not to make people unhappy, its because they're being made too. It's the same with Netflix, they aren't holding out the 2nd season of The Walking Dead because they don't want people to have it. They can't get it yet...

[CordCutter]

Art, you do know who owns Hulu right? Comcast-NBC (Stripped of voting power by FCC after merger), FOX, ABC and a private equity firm (that is trying to sell).

[Baby Deals]

Ive tried Hulu, but it just isn't for me.

[Art Artistry]

Cordcutter. So you're saying that bitching at Hulu is going to solve the problem? Hulu makes all the choices here clearly. Oh wait, you just said that they're owned by other companies? Wow thats cool...so calling and bitching at them really doesn't make sense after all. Bitching at comcast, FOX, ABC, and the private equity firm might. I guarantee Hulu has its own management group that if they didn't need the rights to those shows would keep doing it the way that made them the most money.

WAIT A MINUTE? That's what I've been saying all along isn't it? Wow thats pretty cool.

[CordCutter]

Sorry, I was trying to correct this sentence of yours: "Hulu isn't Comcast, and if they have to do something like that it's not to make people unhappy, its because they're being made too." They are comcast and along with their partners they are trying to stifle competition and limit consumer choice all the while basically being subsidized by the government. That was my point, sorry if it wasn't clearer.

[bigqueue]

I am not a Hulu Plus customer, and can't imagine being one unless there was a version without commercials (that cost more, of course). On VERY rare occasions, I do use Hulu, usually to catch the very end of an episode that was clipped (I couldn't add padding due to other conflicts).

So for those who say there's no use for a service like this if you already have cable, I disagree.. There's never enough tuners or storage on DVRs. I would GLADLY pay, but not the ridiculous prices that some of the services have now per episode, for something without commercials and basically be the DVR for me..

i.e. if Netflix had currrent shows, I'd gladly pay the same as what I pay for cable now.. but it would have to be without commercials.

[Jack]

"You should, even if you keep using Hulu+. When a show is available OTA I always prefer recording over streaming, always. The video quality is great and the PVR player has superior features (rewind, fast forward, commercial skip, etc.)."

Oh, I disagree. More often than not, my local network affiliates will switch out of HD signal to put a weather alert on the screen and then forget to return to HD when it's done, or they'll screw up the screen formatting, or they'll screw up the ad timing and step on the end of the show, or they'll pre-empt it for local sports, or they'll just plain lose the signal and never re-play the episode.

I do record the network stuff I watch (all three shows) but they fail so often that I end up needing to stream/download in order to get a decent/watchable version.

[reader]

If hulu requires cable subscripton, I guess I could add streaming to my netflix account to make up for the loss.

[andyg8180]

been a happy hulu+ subscriber and even got over the whole "paying to watch commercials" thing... I have zero interest in paying for a full cable subscription when i barely watch half the crap thats being produced these days... Authentication = dead subscription... Theres "other options" out there for me...

[Tony Dockery]

Hulu would not be anything special by doing that...If I had Cable(I don't by the way)what would I need hulu for? More commercials...no thanks I canceled my subscription once I realized I was only paying for commercial television..which in General suks.Cable and satellite companies wont relent and realize that the internet is the future..there only mission is to provide us Internet services and let us watch what we want...let us pay for subscriptions to our favorite channels and quit force feeding us 100s of them in expensive models...we wont take it any more..

[PSchroeder]

CordCutter, are you getting episodes of Bob's Burgers to work past the 8 day time frame? I was originally able to watch the first episode or two from the second season, 8 days past it's airing, now I can't view any of Season 2 anymore, always get the "This Video is no longer available for playback." with a Hulu Plus account... It's like they want me to pirate their shows....

[satellite direct free download]

Pretty cool!
Satellite Direct Free Download