Apple Bidding on Video Service, Hulu?

Two sources with knowledge of an auction, who aren’t to be publicly revealed, have information regarding a possible bid on the online video service Hulu on behalf of Apple. The company with 76.2 billion dollars could be purchasing the service to supposedly be a bigger competitor with Hulu rival, Netflix.

Though no one was defiant on the matter, it could be true that Apple is looking into purchasing one of the largest video providing services online, Hulu. Why they would be interested in making this acquisition is beyond me, but there are a few perks included with the deal, and the analyst below seems to know:

“Part of the ecosystem of Appleā€™s future is to include more video. It’s something they’re focused on” says Wedbush Securities Analyst Scott Sutherland. He is in favor of Apple buying out Hulu’s stock.

Hulu’s media hosted on their website is owned by Comcast’s NBC, Walt Disney and News Corp, who are all offering the ultimate buyer a 5-year program rights extension. 2 of which include special access.

According to Bloomberg, multiple spokespeople from both companies refused to part with details regarding the matter. Wedbush Securities Analyst Scott Sutherland doesn’t think it’s ideal for Apple to be making such a big purchase, considering the purchase point could exceed $2 billion. The most Apple has ever spent on purchasing another company is $400 million, which was spent on Steve Job’s NeXT Software Inc, where he was when he initially left Apple.

I think it’s wonderful that Apple is looking to buy out a company such as Hulu. Though it could be an expensive offer, and finally the media service provider may not end up in their iArms, (Yahoo! is also thought to be in the auction) Hulu could prove to be a valuable investment in the future, especially with Apple gaining on the spot of the world’s most valuable company.

[Via Bloomberg]