-->
Save your FREE seat for Streaming Media Connect in November. Register Now!

Time Warner Buys 10% of Hulu, Will Be Part of Skinny Bundle

Article Featured Image

Making a bet on the future of streaming video, Time Warner bought a 10 percent stake in Hulu, both companies announced today. Time Warner paid $583 million in an all-cash transaction, which gives Hulu a valuation of $5.8 billion. That's three times its valuation from 2012, the Wall Street Journal reports.

Time Warner is already a streaming pioneer, as it owns HBO and launched stand-alone streaming service HBO Now last year. Today's move shows it taking a strong stance on streaming as a hedge against pay TV erosion.

During its newfront presentation in May, Hulu confirmed that it will launch a streaming skinny bundle service, expected to go for $40 per month and debut in 2017. Part of today's news is that Time Warner channels CNN, TNT, TBS, Cartoon Network, Adult Swim, Boomerang, truTV, and Turner Classic Movies will be part of that service, providing both live and on-demand content.

“Our investment in Hulu underscores Time Warner’s commitment to supporting and developing new platforms for the delivery of high-quality content and great consumer experiences to audiences around the globe," said Jeff Bewkes, chairman and CEO of Time Warner, in a statement.

Hulu is jointly owned by The Walt Disney Company, 21st Century Fox, and Comcast—and, now, Time Warner.

Streaming Covers
Free
for qualified subscribers
Subscribe Now Current Issue Past Issues
Related Articles

Trouble Ahead: Netflix's Bad Quarter Could Turn Into a Bad Year

The constant drip, drip, drip of bad news for the SVOD leader has taken its toll, and viewers are leaving en masse. Suddenly the giant doesn't look so powerful.

Trouble Ahead: Netflix's Bad Quarter Could Turn Into a Bad Year

The constant drip, drip, drip of bad news for the SVOD leader has taken its toll, and viewers are leaving en masse. Suddenly the giant doesn't look so powerful.

WarnerMedia Makes SVOD Case to Advertisers

With established content brands plus AT&T's reach and a new cross-platform marketplace, WarnerMedia hopes to win ad dollars for platform launch in early 2020

AT&T's WarnerMedia to Launch OTT Video Service in Q4 2019

The upcoming service will combine programming from HBO, Turner, and Warner Bros, launching around the same time as Disney's OTT service.

DC to Launch Subscription Service That Combines Video and Comics

The house of Batman is creating an SVOD service that offers original live action and animated shows, as well as a curated library of comics.

Time Announces Sports Illustrated OTT Service to Launch This Fall

At the CNN NewFront, Casey Neistat revealed that his video-focused news channel will debut on YouTube and Facebook this summer.

How Time, Inc. Uses Data to Deliver Better Content, Stronger ROI

An old media company is learning new tricks as Time overhauls its editorial and advertising operations through the use of granular data on video viewing.

Hulu Acquires Video Genome Project to Improve Recommendations

When consumers have access to an almost unlimited supply of premium content, surfacing programs they'll enjoy becomes a major challenge.

Hulu Drops Free TV and Movie Streaming, Yahoo Picks it Up

Hulu is no longer interested in free streaming, but Yahoo's video operations could use some focus. The two companies strike a deal for the future.

Hulu Confirms Skinny Bundle Launch This Year at NewFront

Subscribers will soon be able to view live and on-demand content in one place; 70 percent of Hulu viewing now done on a TV screen.

Hulu: TV Network Brands Still Matter in the World of Online Video

Even when viewers watch programs from an SVOD service, they like to know which networks created the content.

Hulu Inks Multi-Year Deal With Epix, Netflix Focuses on Originals

Netflix has chosen to pass on blockbuster titles already available on other services, and instead will shop for exclusives.