|[February 27, 2014]
Nippon TV Acquires Hulu Service in Japan
LOS ANGELES & TOKYO --(Business Wire)--
Nippon Television Network Corporation (Nippon TV) has entered into a
definitive agreement with Hulu (News - Alert), LLC, to acquire Hulu's Japan business.
The transaction, which is subject to certain regulatory conditions, is
expected to close in early Spring, marking Nippon TV's entry into the
SVOD (Subscription Video On Demand) business.
Consumer lifestyles are changing rapidly in Japan. Content consumption
on internet connected devices such as TVs, PCs, smartphones, tablets and
gaming consoles, has increased significantly, and internet video
services have been received with enthusiasm by consumers in Japan.
Through its acquisition of the Hulu business in Japan, Nippon TV will
offer another great option for consumers to enjoy entertainment.
"In addition to terrestrial broadcasting and BS/CS broadcasting, Nippon
TV is looking forward to succeeding Hulu's business as a new path to
deliver content through the Internet," said Yoshio Okubo, President,
Nippon TV. "Hulu's sophisticated brand, wide content line-up, and its
outstanding technology are very attractive. We feel a big potential in
the brand and service Hulu has created."
"Hulu launched in Japan less than three years ago, a first-of-its-kind
subscription video on demand service in the market which has grown to 50
content partners, offering users more than 13,000 assets of TV dramas
and movies across 90 million devices," said Mike Hopkins, CEO, Hulu. "We
are very proud to have created a service that Nippon TV, the broadcast
leader in Japan, sees as a strong asset."
Hulu is an online video on demand service that launched in 2008 in the
U.S. and is a joint venture between NBCUniversal, 21st Century Fox, and
The Walt Disney (News - Alert) Company. Hulu in the U.S. offers a selection of hit TV
shows, clips, movies and more on the free, ad-supported Hulu.com service
with30 million monthly unique users, and the Hulu Plus subscription
service, with over 5 million subscribers.
Hulu launched its Japan service (also branded with the name "Hulu") in
September 2011 and currently offers subscriptions for unlimited viewing
of premium content on internet-connected devices such as TVs, PCs,
tablets, smartphones and gaming consoles, for 980 yen (tax included) per
month. Hulu in Japan ended the 2013 fiscal year having more than doubled
the number of subscribers from the beginning of the year. The service
has grown to 50 content partners offering users more than 13,000 assets
of TV dramas, movies, and anime and Hulu is available on more than 90
million devices (PCs not included).
As part of the acquisition, the parties will be entering into a separate
agreement in which Hulu will license its brand and technology to a
subsidiary of Nippon TV, as well as provide support services that will
enable Nippon TV to continue to make the SVOD service available under
the Hulu brand using the same platform.
Following the acquisition, the Hulu service will continue to offer
Japanese consumers premium content, including Hollywood and Japanese
films and dramas and popular television programming. Additionally,
Nippon TV's popular shows and original exclusive content will launch on
the Hulu service in Japan, expanding its content offering, and
continuing to delight subscribers in Japan.
Nippon TV is the leading television network in Japan, ranking #1 in
average household viewer ratings in the past three years. Nippon TV has
also been the leader in the initiatives to adapt to the digital
environment. Nippon TV currently operates a TVOD (Transactional Video On
Demand) service, "Nittele On Demand," and with the acquisition of the
Hulu service in Japan, Nippon TV will enter the SVOD business for the
first time. The decision to enter this business is in line with the
"Nippon TV Group Mid-term Management Plan 2012-2015 Next60." In addition
to terrestrial broadcasting and BS/CS broadcasting, Nippon TV will
maximize content value by acquiring a path to deliver content through
the internet, responding to users' preferences.
About Nippon TV
As Japan's first commercial terrestrial broadcaster to go on the air in
August 1953, Nippon TV marked its 60th year of broadcasting in 2013.
Nippon TV broadcasts and produces all genres of programs ranging from
news, documentaries, sports, dramas, entertainment shows to animation.
Nippon TV has earned the highest ratings among commercial broadcasters
in the All Day (6am to midnight) category for three years in a row.
Nippon TV also has a wide variety of group companies which deal with
movies, events, publishing, TV shopping, merchandising, etc.
Hulu is an online TV service whose mission is to help people find and
enjoy the world's premium content when, where and how they want. As we
pursue this mission, we aspire to create a service that users,
advertisers and content owners unabashedly love. (www.hulu.com)
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