Hulu is ready to ditch the ads, at least partly. Wall Street Journal reports that Hulu may roll out an ad-free tier this fall and charge somewhere from $12 to $14 per month for it. Paid subscribers of Hulu (a tier formerly known as Hulu Plus) have long complained about having to sit through commercials despite paying $9.99 per month for the subscription.
While this move could finally help align the TV streaming service with its rivals Netflix and Amazon Prime Video, it also implies a lack of audience data on Hulu’s part to get the higher CPM rates for targeted ads, thus for it to be willing to forgo some of the ad revenues to gain more on subscription fee instead.
Source: Wall Street Journal