Hulu Live TV Adds 14 Channels from ViacomCBS Deal

A recent understanding between Hulu and ViacomCBS will introduce 14 additional channels to Hulu’s live television streaming platform, alongside the continuation of an arrangement enabling Hulu to broadcast a variety of CBS television stations and Showtime. As stated by ViacomCBS, this new, multi-year distribution agreement will, for the first time, permit Hulu + Live TV users to stream cable networks including BET, Comedy Central, MTV, Nickelodeon, Paramount Network, VH1, CMT, Nick Jr., TV Land, BET Her, MTV2, NickToons, TeenNick and MTV Classic.

With this agreement finalized, the two leading live TV streaming services currently available in the United States will both feature the complete ViacomCBS channel selection. Hulu + Live TV currently holds the larger subscriber base of the two, with 4.1 million subscribers reported in Disney’s fourth-quarter earnings. YouTube TV, as of Alphabet’s fourth-quarter earnings, has 3 million subscribers.

ViacomCBS previously established an agreement with YouTube TV, which is owned by Google, earlier in 2020. This earlier deal also included the same channel lineup and allowed the streaming service to continue broadcasting CBS stations and the premium channel, Showtime.

Hulu + Live TV will also maintain the ability to broadcast CBS stations such as CBS Sports Network, Pop TV, Smithsonian Channel and The CW, in addition to Showtime.

Providing the ViacomCBS cable channels to live TV streaming services represents a shift in strategy for Viacom, particularly following its 2019 merger with CBS. Previously, the company allowed agreements with Hulu, as well as others like the now-defunct PlayStation Vue, to expire, instead concentrating on traditional distribution agreements with cable and satellite television providers.

Throughout 2020, its first full year as a unified company, ViacomCBS adopted a different approach. It secured significant distribution deals with Comcast, Dish, Verizon (the parent company of TechCrunch), Nextstar, Meredith, Cox and Sinclair, while simultaneously reaching agreements with YouTube TV and Hulu to generate additional revenue.

However, these agreements are not always favorably received by streaming service customers. While gaining access to more channels is beneficial, such arrangements have also led to increases in subscription costs. YouTube TV, for instance, raised its price by 30% in June 2020 as a result of adding the ViacomCBS channels.

Hulu announced in November 2020 that it would also increase the price of its Live TV service to $65 per month, effective December 18, 2020, citing rising programming costs. While the company did not initially link the price increase to any specific agreement, it now appears evident that the expansion of its Live TV service through the inclusion of ViacomCBS channels played a role in this decision.

The ViacomCBS agreements with both YouTube TV and now Hulu raise questions regarding the company’s plans for attracting subscribers to its upcoming streaming service, Paramount+. This service, an expanded and rebranded version of CBS All Access, is scheduled to launch in 2021. While ViacomCBS channels are not the sole attraction, they constitute a significant portion of its content offering, alongside its library of content, CBS channels and original series, including the latest “Star Trek” programs.

“We are excited to have reached an expanded agreement with Hulu that underscores the value of our powerful portfolio of brands to next-generation TV platforms and viewers,” stated Ray Hopkins, president, U.S. Networks Distribution, ViacomCBS, in a press release regarding the new deal. “Hulu continues to be a great partner, and this agreement ensures that Hulu + Live TV subscribers are now able to enjoy the full breadth of our leading content across news, sports and entertainment for the first time.”

ViacomCBS has not yet announced when the new channels will become available on Hulu with Live TV.