News Corp and Disney reportedly are in early talks about the future of their jointly controlled online video site Hulu. The Wall Street Journal, citing people with knowledge of the situation, said today that the two companies, which each own about a third of the site, have been discussing the possibility of one buying the other out. There also is a possibility that they may decide to sell to an outsider, according to the Journal. Comcast owns most of the remaining third, but is barred from an operational or board role because of an agreement with federal regulators related to approval of its NBC Universal acquisition in 2011. The talks are in a preliminary stage and a deal isn’t guaranteed, according to the report. Disney and News Corp have been at odds over the direction they want Hulu to go. It was previously reported that News Corp wants Hulu to focus on its subscription service, while Disney prefers the ad-supported business model. Adding to the confusion, Hulu’s chief executive, Jason Kilar recently indicated his intention to leave by the end of the first quarter. Kilar had pushed the companies to invest more money in Hulu to fund expansion.
Subscribe to Deadline Breaking News Alerts and keep your inbox happy.