Hulu is just one of many companies that are looking at bringing in their own streaming TV service. Hulu's CEO had already mentioned that the service would be "under $40", and now we're hearing from TechCrunch's own sources that it'll be priced at $39.99. However, Hulu is publicly stating that they have not yet finalized the pricing, so it is possible that they could add in a cheaper option, or even drive this price even lower. This price is said to include Hulu's on-demand content that is already available, as well as their own original content and it will have ads. However, it is possible that Hulu may offer an ad-free (except for with live content) for a few bucks more per month, something they currently do.
This service will reportedly also feature a Cloud DVR service, allowing customers to go ahead and record their shows and watch them later on. There isn't a set number on the space being offered, but sources say that it'll allow users to have around 200 hours of content stored in the cloud. It also won't be entirely functional, as users won't be able to fast-forward. That's similar to the on-demand content from cable providers right now.
The pricing here puts Hulu's offering right in line with other competitors like AT&T's DIRECTV NOW, Dish Network's Sling TV, Sony's PlayStation Vue and Google's YouTube TV. The majority of them cost between $20 and $40 for the entry-level package. Now, where Hulu can set themselves apart from the pack is on the number of channels that they will be offering, and the channels that will be offered. None of these services are complete, when it comes to channels, and some have bigger holes than others. DIRECTV NOW and Sling TV both are missing CBS and other over-the-air channels in most markets, while PlayStation Vue and YouTube TV has them (in most markets), but lack a good number of other channels. If Hulu can do this, and do it right, there could be some real competition coming in the streaming TV world, and there may end up being even more cordcutters out there.