Hulu to Surpass $1 Billion in Revenue
Carrying the momentum from the $695 million in revenue Hulu raked in during 2012, the over-the-top (OTT) powerhouse recently announced it would sizably surpass that number, hauling in $1 billion during 2013. That 44 percent increase is certainly impressive, especially considering the company launched just six years ago.“When you think about the fact that Hulu first launched out of beta in 2008, it’s quite an impressive feat to scale the business from zero to $1 billion over the course of just six years,” explains Mike Hopkins, CEO of Hulu.
In addition to its revenue, Hulu also announced it reached five million subscribers to Hulu Plus, the company’s paid-for premium service. Additionally, the company boasts nearly 500 partners that collectively provide 68,000 hours of video. What’s more, the company launched over 20 original series in 2013 and has plans to continue moving in that direction in the coming years.
“It’s exciting for me to see the continued growth of the business and be part of such a great team,” Hopkins continues. “As we scale the business in 2014, we will continue to invest in content, technology and people.”
With Hulu’s extraordinary growth and consumer cord cutting on the rise, it’s hard to imagine how traditional cable providers can possibly keep up. Providing an array of diverse content was the “ace” up cable provider’s sleeve; however OTT providers are now offering up their own original programming (e.g. Netflix’s “House of Cards” and Amazon Instant Video’s “Alpha House”), making it even more difficult for traditional providers to compete.
Moreover, as OTT providers continue to cater to the evolving needs of the consumer—the desire for strong, customized content delivered to the device of their choice with minimal (or no) commercial interruption—cable companies can’t help but look in their rearview and see the newcomers getting closer and closer.