Streaming media company Hulu was set to be sold, but now its current owners have had a change of heart.
21st Century Fox, NBCUniversal, and The Walt Disney Company announced today that they will retain ownership of Hulu and pour in $750 million to “propel future growth.”
This comes after Hulu was put on the selling block for the second time in the last two years. Companies like Yahoo!, DirectTV, Time Warner Cable, NewsCorp and AT&T were interested in swooping up Hulu for up to $1 billion, according to several media reports.
“We believe the best path forward for Hulu is a meaningful recapitalization that will further accelerate its growth under the current ownership structure,” Chase Carey, President and COO of 21st Century Fox, said in today’s press release.
Hulu, which has more than four million subscribers on its premium Hulu Plus network, has yet to really challenge streaming media kingpin Netflix. However, both Hulu and Amazon are making small gains in viewership, according to the NPD Group market research firm. In the TV category, which accounts for 80 percent of streaming media, Netflix held a strong grip on the market through Q1 of 2013 with an 89 percent share, down four percent from the same time last year.
While HuluPlus and Amazon are far from Netflix, both are increasing viewership. Hulu Plus had 10 percent of TV streams — up from seven percent last year — while Amazon Prime had two percent, up just one percent from the same time last year.