Online Video Smackdown! CBS vs. Hulu
It’s not a “getcha popcorn ready” situation yet, but CBS isn’t taking Hulu pulling its content off CBS’ TV.com without at least a war of the words.
“CBS Interactive is well within its rights to stream Hulu video content on TV.com under its agreement with Hulu. We are evaluating our next steps at this time,” read a statement released CBS Corp according to the Wall Street Journal Digits blog.
Hulu pulled its content from TV.com on Wednesday and said it was exercising rights within the TV.com contract. But the distribution agreement was made prior to CBS Corps acquisition of CNET (CNET owned TV.com).
Hulu is a joint venture between NBC Universal and News Corp. Since its re-launch in January, TV.com has been growing like a weed and already has more monthly unique visitors than Hulu (5.9 million vs. 4.5 million according to Nielsen). It’s an interesting situation because of Hulu’s business model is making money off of selling ads in its videos, extra distribution via TV.com seems like a good thing. But the notion of Hulu content helping the CBS owned TV.com to grow is sure to ruffle more than a few old school feathers at NBC Uni and News Corp.