After speculation that Hulu would raise money through an initial stock offering, those plans are now on hold, as its executives and board members weigh the service’s next steps, reports the Los Angeles Times’ CompanyTown blog. [The Wall St. Journal also has this story, but that site is behind a firewall and may charge you to read its stories.]
As previously reported, Hulu had been working on an IPO that would have valued the online-video service at $2 billion.
But that’s on the back burner now as the company’s management figures out whether it needs to acquire more content to compete with Netflix, since that will determine Hulu’s capital needs, the article says.
Executives are also discussing whether Hulu should increase its number of ads to bump up revenue, and whether Hulu’s owners (which include big media companies such as News Corp. and NBC Universal) could provide more funding or if it should seek outside investors, the piece notes.