Google in Early Talks to Buy Hulu !

According to the LA Times, one of the mysterious parties that’s been in talks to buy Hulu is none other than Google. Also involved in the preliminary negotiations are Microsoft and Yahoo. Google is reportedly interested in Hulu due to its reach in video advertising, a field Google pioneered with YouTube.
Hulu’s rights to stream current season TV are certainly of great interest, as well. Google recently launched a video rental service within YouTube for feature films, and the rights they would acquire from a Hulu buy would flesh out the catalog nicely.
One major issue with a Google deal is the possibility that licensing agreements could dry up after a buyout. There are already rumors that Hulu subscribers could eventually be forced to prove they have a cable subscription, and future licensing deals are not guaranteed.
Google already has a contentious relationship with Hollywood, and may have trouble renewing the necessary deals. Do you think Google could make Hulu a better service, or is the search giant just bidding up its competition?

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