There are a lot of benefits in this model. If you can start getting subscribers and cash coming in you typically end up with high retention rates and low capita

There are a lot of benefits in this model. If you can start getting subscribers and cash coming in you typically end up with high retention rates and low capital investment requirements. Eventually Hulu could throw off a lot of free cash flow which would be good for owners. Liberty Media Starz is a good example. They successfully generate a lot of cash and are now on sound enough footing to start creating some of their own content. They just grabbed Chris Albrecht who was behind HBO's original content push. Plus, with this Netflix / EPIXHD deal, Starz is likely to have their contract with Netflix re-negotiated at a much higher price and benefit.