|Disney becomes an equity owner of Hulu|
Posted: 05-May-2009 [Source: Hulu]
[Walt Disney, through its subsidiary ABC Enterprises, agrees to buy a stake in Hulu, a leading aggregator of video content.]
Los Angeles, CA -- Hulu and The Walt Disney Company announced that Disney, through its subsidiary ABC Enterprises Inc., has agreed to join NBC Universal, News Corporation and Providence Equity Partners as a joint venture partner and equity owner of Hulu, a leading online aggregator of video content. Upon closing, the agreement will enhance Hulu's programming line-up through the expanded online distribution of Disney's most popular current and library primetime series and library feature films. In particular, full-length episodes of hit current and library programs like Lost, Grey's Anatomy, Desperate Housewives, Private Practice, Ugly Betty, Scrubs, Greek, Hope and Faith, Less Than Perfect, Wizards of Waverly Place, Phineas and Ferb, Who Wants To Be A Millionaire, General Hospital, The View and The Secret Life of the American Teenager will soon be streamed on Hulu on an ad-supported basis.
"From our landmark iTunes deal to our pioneering decision to stream ad supported shows on our ABC.com player, Disney has sought to meet the constantly evolving viewing habits of our consumers, and today's Hulu announcement is the next important step in that ongoing journey," said Robert A. Iger, president and CEO, The Walt Disney Company. "Disney and Hulu share a focus on delivering the highest-quality entertainment experience and we look forward to working with Hulu to build value for our consumers, our brands and our shareholders."
"We're honored to welcome the Disney team in our mission to help people find and enjoy the world's premium content, when, where and how they want it," said Jason Kilar, CEO of Hulu. "With the addition of shows like Lost, Desperate Housewives, Grey's Anatomy and many more to Hulu, we continue to aspire to deliver a service that users, advertisers and content owners unabashedly love."
Following the closing, content available to Hulu users will include:
* • Full-length episodes of ABC primetime programs like Lost, Grey's Anatomy, Desperate Housewives, Ugly Betty, Samantha Who, Scrubs, Private Practice and popular late night talk show Jimmy Kimmel Live
* • Full-length episodes of hit ABC Family series like The Secret Life of the American Teenager and Greek
* • Popular series from ABC Daytime and SOAPnet like General Hospital and The View
* • Classic series from ABC's library like Hope and Faith, Less Than Perfect, Commander in Chief, Who Wants To Be A Millionaire, and Dancing with the Stars
* • Select hit programs from Disney Channel like Wizards of Waverly Place and Phineas and Ferb which can be easily accessed from a new DISNEY location in the Channel section of Hulu.com
* • Popular library titles from The Walt Disney Studios
* • Short-form content including webisodes, sneak peeks and episode recaps from ABC Entertainment, ABC Family and SOAPnet
"Hulu, quite simply, now has the best premium content on the web," said Peter Chernin, president and chief operating officer, News Corporation. "With three major networks and over 150 leading content providers providing content, combined with the best video user interface anywhere on the web, Hulu offers consumers the finest premium online video experience available today."
"Hulu has shown that if you make quality content available on the web and combine it with an unbeatable user experience, viewers will come, and so will advertisers," said Jeff Zucker, president and CEO, NBC Universal. "The addition of some of the best content Disney/ABC has to offer will only enhance Hulu's standing as a top site for high quality video entertainment."
Jonathan M. Nelson, CEO of Providence, said "Hulu is creating significant value for users, advertisers and content owners. This balance, together with aggregated professional content and an expanding base of over 200 brand advertisers, is establishing Hulu as a compelling online video monetization platform. Hulu is a bright spot in the new media landscape."
The transaction is subject to customary closing conditions, including regulatory review. As an equity partner, Disney will have three seats on the Hulu Board that will be held by Mr. Iger; Anne Sweeney, co-chair, Disney Media Networks and president, Disney/ABC Television Group; and Kevin Mayer, executive vice president, Corporate Strategy, Business Development & Technology. All other current directors from News Corp, NBC Universal and Providence will remain on the Hulu board.
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