Apple joins race to acquire online video service firm Hulu
22 Jul 2011
Apple Inc, the world's second-most-valuable company after ExxonMobil, is in preliminary talks for acquisition of online video service provider Hulu, reports quoting sources close to the development said.
Apple, which has $76.2 billion in cash and securities on its books, is considering a bid for the Hulu online video service, reports said.
Hulu is owned by Walt Disney Co, News Corp and Comcast Corp's NBC Universal. A successful offer to acquire Hulu would provide Apple a new subscription service that could challenge online video firm Netflix Inc.
California-based Apple would also get five-year video programme rights, including two years of exclusive access, reports said.
Los Angeles-based Hulu commands a price tag that could exceed $2 billion - a rare proposal for Apple that has so far looked at smaller firms for acquisition.
Apple had last month agreed to pay $2.6 billion as part of a group buying of patents belonging to Nortel Networks Corp.
Apple is also looking at acquiring the $3.37 billion InterDigital Inc to access its patents, reports quoting sources said.
