Hulu has always been a dependable streaming as it has the streaming rights to the most recent television shows from the major networks and having the free tier which features ads. Now Hulu is dropping the free tier and focusing purely on subscriptions on the main service.
That doesn’t mean ad-supported free Hulu is being discontinued altogether. Yahoo’s new streaming service called “Yahoo View” will serve as the home for that portion of Hulu.
This is pretty much to keep the service out of direct competition with owners’—Comcast, Walt Disney, 21st Century Fox, and Time Warner—commercial partners that mainly do business via TV broadcasts when dealing with competition from Netflix.
With Hulu moving to being mainly focused on a subscriber-based setup, it can produce the kind of original content that would be more competitive against Netflix and Amazon’s originals with ad partners that could be more capatible with competitive programming.
The free version of Hulu on Yahoo View will have the five recent episodes of featured shows for free with ads. Hulu will retain its $7.99 tier with commercials and $11.99 commercial free tier.