Hulu Taken Off the Auction Block: Sale of Video Hub Tabled by Owners

  • After months of bidding, Hulu’s owners — News Corp., NBCUniversal, Disney and Providence Equity Partners — have decided to stop its sale.
  • “Since Hulu holds a unique and compelling strategic value to each of its owners, we have terminated the sale process and look forward to working together to continue mapping out its path to even greater success,” explained the partners in a short statement. “Our focus now rests solely on ensuring that our efforts as owners contribute in a meaningful way to the exciting future that lies ahead for Hulu.”
  • In a related TechCrunch post, it was suggested that media companies saw more value in retaining licensing fees than selling them.
  • Bidders were not willing to pay more for Hulu knowing that the costs for content rights would increase dramatically after the two year period being sold. (Google reportedly bid $4 billion, but wanted streaming rights for longer than the guaranteed “couple of years.”)

The Real Motivation Behind the Motorola Mobility Acquisition

  • An intellectual property analyst makes the case that the reason Google acquired Motorola Mobility for $12.5 billion last month was not to provide patent protection for Android as most believe. It was to prevent Motorola Mobility from making one or more key moves that would have weakened Android’s patent situation even more.
  • For example, Motorola Mobility could have taken a patent license from Microsoft signaling a surrender that would have affected every other Android licensee.
  • It could have started work on a Windows Phone as a way to help it deal with a Microsoft infringement case, suggests the FOSS Patents blog. It also could have attacked other Android licensees to collect royalties.
  • And finally, it could have sold off its patent portfolio to one of Google’s competitors.