Streaming services are becoming the dominant platform to watch content, splintering off into a ridiculous number of options.
Netflix is still leading that charge, but the company’s recent price hike has many wondering if it’s tenable for the company as it continues to reduce its third-party library and rely on first-party content instead. Whether it is or not is definitely a personal decision, but if you’ve been using Hulu’s base, ad-supported subscription offering you’ll be happy to hear that company is going the other direction.
Hulu is going to drop the price of its base tier, which features advertisements, down from $7.99 per month to just $5.99 per month. The change will go into effect beginning Tuesday, February 26. The price change will not, thankfully, see a change in the number of advertisements that subscribers see.
Hulu will also not be changing the price of its current “ad-free” service ($11.99 per month), nor will it be changing the monthly cost of the Hulu + Spotify bundle deal ($12.99 per month).
Hulu recently confirmed that it has over 25 million subscribers in the United States, and that it is planning to continue to focus on original content moving forward. But it will go beyond that, too, as Hulu knows third-party content is a huge boon for the streaming service, and it will be looking to add even more of that content in the future as well.
That may be tough, though, just as it is for Netflix now (and will continue to be). That’s because there are other streaming services coming down the pike, all of which are owned by major companies that usually own the rights to most of that content. For example, Disney is launching Disney+ later this year. That will effectively pull Disney’s content from Netflix, which can include a lot of different, but very popular, shows and movies. And then, some time after that, AT&T and WarnerMedia is going to launch another streaming platform as well, which will obviously add content to its own platform and remove it from other streaming options.
At least, that’s what most onlookers believe will happen. Shows like Friends and The Office, among others, are huge streaming boons for the platforms that currently host them, but when the parent companies launch their own offerings they will want to bring that entertainment under their own banner.
Meanwhile, Apple has, at least up to this point, ignored third-party content and relied heavily on first-party entertainment in both TV shows and movies. That includes signing big partnership deal with production companies like A24 — which will see its first film, On The Rocks directed by Sofia Coppola and starring Bill Murray start production soon.
If you subscribe to Hulu, do you plan on taking advantage of this price drop when it goes live?[via Hulu]