Former News Corp president Peter Chernin and private equity fund Guggenheim Digital Media have placed bids for Hulu, two people with knowledge of the matter told Reuters, triggering a tug-of-war for the online video service.<\/p>\n
Satellite operator DirecTV and cable operator Time Warner Cable Inc also put in bids, one of the people told Reuters.<\/p>\n
Hulu was put on the auction block this year for the second time after disagreement between owners News Corp and Walt Disney Co on how best to operate a Web service that streams TV programs and other videos, Reuters previously reported.<\/p>\n
In April, Chernin placed a bid for $500 million, plus an unspecified additional sum to cover Hulu’s debt and programming commitments.<\/p>\n
Representatives of Guggenheim, Time Warner Cable and DirecTV had no comment. A spokesman for Chernin could not be reached.<\/p>\n
Hulu says on its website that it has more than 3 million subscribers paying $7.99 a month for its premium service and that it generated revenues of around $700 million last year. It sells advertising for its free service.<\/p>\n
It is being advised in the sale by Guggenheim Partners, a separately funded group from the digital media unit that placed the bid.<\/p>\n
The Los Angeles Times initially reported the bids On Thursday.<\/p>\n
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