Jason Kilar on Hulu and content

come with intensified distribution competition.

returns, which will be a function of disciplined per-user per-month licensing strategies, along with the benefits that

* Traditional TV has too many ads. Users have demonstrated that they will go to great lengths to avoid the advertising load that traditional TV places upon them. Setting aside sports and other live event programming, consumers are increasingly moving to on-demand viewing, in part because of the lighter ad load (achieved via ad-skipping DVRs,

tolerance for thin margins

The above trends are a reality and we believe the wise move is to find ways to exploit these new trends and leverage them to build great businesses. History has shown that incumbents tend to fight trends that challenge established ways and, in the process, lose focus on what matters most: customers. Hulu is not burdened by that legacy.

traditional video on demand systems, and/or online viewing).

* Consumers want TV to be more convenient for them. People want programs to start at a time that is convenient for their schedules, not at a time dictated to them. Consumption of original TV episodes will eventually mirror theatrical movie attendance: big opening Friday nights, but more consumption will be in the days and weeks afterward. Consumers... See more

audience, thanks to the internet medium. And content owners will have the opportunity to make higher financial

going to be very good to users, advertisers and content owners/creators. Users will have convenient access to much