Just weeks after buying the popular blogging website Tumblr, it appears that Yahoo is poised to buy the popular video portal web site Hulu. Hulu is an online video service that offers a selection of hit shows, clips, and movies. This is an important move because it broadens the potential ad space that Yahoo will now have access to. The wider the audience base, the more potential customers Yahoo could be serving your paid ads to.
This is a large play by Yahoo who has been having trouble with growth and keeping up with Google. While Google has had success monetizing YouTube, it remains to be seen if Yahoo management has the same talent. This may also not be the last acquisition they make, stay tuned!