Why would Disney strike a deal with Netflix, if they have an investment in Hulu?

[comcastlover33]

Disney owns 32% of Hulu, but tomorrow, their big content deal with Netflix starts. Why would Disney support a competitor by doing this?

 

[Budshark]

Separate divisions each with their own p/l requirements. Investment in one company does not mean you forego all logic and take a lesser deal.

Plus Disneys ownership doesn't mean they decide what Hulu does. Obviously Netflix gave them the best deal for their content.

 

[Eoghann]

Multiple eggs, multiple baskets...

 

[writerguyfl]

Hulu is only available in the United States. (They were in Japan for a bit, but eventually sold their Japanese division to Nippon TV.)

Netflix is currently available in all of North America, South America, Australia/New Zealand, most of Europe, and Japan. They announced expansion during 2016 into Romania, Russia, Turkey, Hong Kong, Singapore, South Korea, Taiwan, India, South Africa, and portions of the Middle East.

 

[newdeal]

exactly...the USA isn't the whole world and Hulu is only in the USA. Also, since I am not in the USA I never sue Hulu but from my understanding much of the content is free, Netflix is likely being more successful at monetizing customers

 

[lockedoutlogic]

Disney owns 32% of Hulu, but tomorrow, their big content deal with Netflix starts. Why would Disney support a competitor by doing this?

Disney hasn't Gotten to where it is by "limiting" exposure/options.

There endeth the lesson

 

[aleksandr]

Hulu is a pale comparison to Netflix. We pay for a Hulu subscription and still have to sit through pointless commercials. I see now that they are trying a two-tier approach where for a higher monthly fee you get zero commercials, but the amount of content they have compared to Netflix does not warrant the higher monthly fee.

 

[sachilles]

Disney hasn't Gotten to where it is by "limiting" exposure/options.

There endeth the lesson

Aside from the movie vault.

 

[lockedoutlogic]

Aside from the movie vault.

In 1986...perhaps...

But honestly...is it hard to find lady and the tramp these days?

A lot of them are on Netflix...and can't i go to The Disney store and put $5 down on the Cinderella dilithium/double cubic zirconium/adamantium blu ray edition right now?

 

[Ursula's Apprentice]

Cinderella dilithium/double cubic zirconium/adamantium blu ray edition

 

[sachilles]

In 1986...perhaps...

But honestly...is it hard to find lady and the tramp these days?

A lot of them are on Netflix...and can't i go to The Disney store and put $5 down on the Cinderella dilithium/double cubic zirconium/adamantium blu ray edition right now?

and you tease Rteetz for not picking up on sarcasm.

 

[lockedoutlogic]

and you tease Rteetz for not picking up on sarcasm.

My boredom overpowered my native skepticism there