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The Podium

Thursday, April 22

Business Plans

By Brad

For the past two years, online video site Hulu has been giving content away to viewers. But as the Los Angeles Times reports, that business model is about to change:

Hulu, the popular online site for watching television shows, plans to begin testing a subscription service as soon as May 24, according to people with knowledge of the plans.

Under the proposal, Hulu would continue to provide for free the five most recent episodes of shows like Fox’s “Glee,” “ABC’s “Lost” or NBC’s “Saturday Night Live.” But viewers who want to see additional episodes would pay $9.95 a month to access a more comprehensive selection, called Hulu Plus, these people said.

Hulu currently ranks only behind YouTube when it comes to online viewers. It will be interesting to see what this new plan does to their traffic.

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