42 million viewers a month and growing! Disney-ABC looked at that audience, and jumped in as partners of Hulu.com. That's the popular web-tv site running hit shows from NBC, and FOX. The alphabet network will soon start supplying shows like "Desperate Housewives," "Lost," and "Jimmy Kimmel Live." Now all 3 networks own a share of Hulu, CBS is the lone hold-out.
The move is being hailed as a major step by content users, or people who watch prime shows via computers, or on devices like the iphone. The consumer wins because he, or she can watch these shows (re-runs) free anytime, anywhere. That's right they don't need broadcast TV, or Cable to tune in. Ooooppps... what's going to happen to our local TV channels who contract to run prime network shows? Stations like KNSD-NBC 7/39, KMB TV-8, KGTV-10, and KSWB FOX-5 own the rights to first-run primetime shows, and some shows on syndication within the market. However it doesn't take a mind reader to see where this is going.
The networks could take their business to Hulu, or sites like it, and by-pass traditional TV. The move could be disastrous for local affiliates that are powerless to fight back. For instance WHDH TV in Boston picked a fight with NBC recently, and lost. The NBC affiliate wanted to air an hour of prime news at 10pm, and drop the netowrk's Jay Leno show. (NBC is running Leno on primetime starting this fall) WHDH is afraid that Leno's new show will fail in primetime. and wanted to cut the show from its local schedule. NBC threatened to pull it's affiliation, and give it to another Boston station, thus forcing WHDH to submit to NBC's will.
An interesting fight is developing because if Leno's show tanks, local stations can't afford a weak lead-in to their 11pm news. Local affiliates are already on the ropes when you consider the economy, weak ad sales, and low ratings. I can't blame WHDH for it's actions they were vunerable. It seems they're powerless to stand up to the big networks, and now they have Hulu.com to contend with.
I feel local stations will be around for awhile. A local station's bigesst asset is still news, local programming, and local involvement. Many stations like Independent KUSI are a model for this. The challenge is local stations will have to work harder for viewers, local business, and respect. Instead of one independent, there may be 3 or 4 local independent stations pushing local news. The consumer might wind up to be the big winner here. Stations are already promoting themselves as hyper-local, meaning they are focusing on your community. The big question is will they start providing the kind of news you want, the kind of news you need, and the kind of in-depth quallity you deserve.
