Jason Kilar

Loved and feared, Hulu — the online video service that offers free streams of episodes of such popular TV shows as "Glee" and "The Office" — commands more than 43 million users. Hulu's rapid rise since its launch in March 2008 has provoked shudders in Hollywood, where it's feared the website is teaching consumers, especially younger ones glued to laptops, to expect easy access to TV's best shows — all for free. And that, providers fret, will only encourage people to drop their pay TV subscriptions, which pays for the enormous cost of producing sitcoms and dramas.

Providence Equity Partners is selling its stake in online video service Hulu for about $200 million, according to people familiar with the situation. The move is expected to give at least two of Hulu's media company owners — News Corp. and Walt Disney Co. — a greater ownership stake in the rapidly growing online service. It also would make it easier for the partners to achieve a common strategy for the asset without having a restive investor in the mix. The 5-year-old service has more than 2 million paid subscribers to its Hulu Plus offering and about 38 million visitors a month to its free site, which offers catch-up episodes of such popular shows as "Glee," "Revenge" and "The Daily Show With Jon Stewart.

Pioneering Internet television service Hulu recently celebrated its third anniversary in a fitting locale: under the roller coaster at the Santa Monica Pier. Hulu has reached a dizzying level of popularity among users by offering easy and free online access to episodes of hit TV programs. But the site's soaring success has induced stomach-churning paroxysms for its owners, Walt Disney Co., News Corp. and NBCUniversal. Now the website faces changes that could curtail its trove of offerings or require users to pay for episodes they currently watch for free.

Here's your fight-the-power Friday roundup of consumer news from around the Web: --Christmas wasn't kind to the video game industry. U.S. sales of video game hardware, software and accessories fell 21% in December from a year ago, to $3.99 billion, as players bought fewer games for their aging consoles, according to market researcher NPD Group. The month's poor performance was unexpected given the quality of new games, including Call of Duty: Modern Warfare 3, which was the top-seller, and Just Dance 3, which placed second.

Providence Equity Partners is selling its stake in online video service Hulu for about $200 million, according to people familiar with the situation. The move is expected to give at least two of Hulu's media company owners — News Corp. and Walt Disney Co. — a greater ownership stake in the rapidly growing online service. It also would make it easier for the partners to achieve a common strategy for the asset without having a restive investor in the mix. The 5-year-old service has more than 2 million paid subscribers to its Hulu Plus offering and about 38 million visitors a month to its free site, which offers catch-up episodes of such popular shows as "Glee," "Revenge" and "The Daily Show With Jon Stewart.

Here's your fight-the-power Friday roundup of consumer news from around the Web: --Christmas wasn't kind to the video game industry. U.S. sales of video game hardware, software and accessories fell 21% in December from a year ago, to $3.99 billion, as players bought fewer games for their aging consoles, according to market researcher NPD Group. The month's poor performance was unexpected given the quality of new games, including Call of Duty: Modern Warfare 3, which was the top-seller, and Just Dance 3, which placed second.

It's about to get a lot harder to turn off the TV. A torrent of television-ready gadgets will hit the store shelves this year, including dozens of phones and tablet computers that will allow viewers to watch movies and TV shows from just about anywhere. The proliferation of viewing devices ? including a new generation of TV sets that connect to the Internet ? could boost the chances that viewers will do what cable and satellite companies fear most: cancel their $70-a-month subscriptions in favor of cheaper Web options.

The owners of Hulu have taken the pioneering online video site off the market after hoping to fetch $2 billion. News Corp., the Walt Disney Co. and Providence Equity Partners issued a statement Thursday, saying they saw more value in retaining the popular 3-year-old service than in selling it off. "Our focus now rests solely on ensuring that our efforts as owners contribute in a meaningful way to the exciting future that lies ahead for...

News Corp. and NBC Universal on Thursday named a little-known former executive of Amazon.com as head of its highly touted and well-financed online video joint venture. Jason Kilar, who helped Amazon.com break into DVD sales in his decade with the online retailer, brings expertise in e-commerce and a passion for delivering a great user experience for video on the Web, his new employers say.

Pioneering Internet television site Hulu has retained investment bankers to explore a potential sale. The online distributor, which is jointly owned by media conglomerates News Corp., Walt Disney Co. and NBCUniversal parent Comcast Corp., has hired Guggenheim Partners and Morgan Stanley to facilitate a sale, according to people familiar with the matter who declined to be identified because the talks are confidential. Prospective bidders were notified that the sales process would begin in about two weeks, said one of the people.

The owners of Hulu have taken the pioneering online video site off the market after hoping to fetch $2 billion. News Corp., the Walt Disney Co. and Providence Equity Partners issued a statement Thursday, saying they saw more value in retaining the popular 3-year-old service than in selling it off. "Our focus now rests solely on ensuring that our efforts as owners contribute in a meaningful way to the exciting future that lies ahead for...

Pioneering Internet television site Hulu has retained investment bankers to explore a potential sale. The online distributor, which is jointly owned by media conglomerates News Corp., Walt Disney Co. and NBCUniversal parent Comcast Corp., has hired Guggenheim Partners and Morgan Stanley to facilitate a sale, according to people familiar with the matter who declined to be identified because the talks are confidential. Prospective bidders were notified that the sales process would begin in about two weeks, said one of the people.

Pioneering Internet television service Hulu recently celebrated its third anniversary in a fitting locale: under the roller coaster at the Santa Monica Pier. Hulu has reached a dizzying level of popularity among users by offering easy and free online access to episodes of hit TV programs. But the site's soaring success has induced stomach-churning paroxysms for its owners, Walt Disney Co., News Corp. and NBCUniversal. Now the website faces changes that could curtail its trove of offerings or require users to pay for episodes they currently watch for free.

It's about to get a lot harder to turn off the TV. A torrent of television-ready gadgets will hit the store shelves this year, including dozens of phones and tablet computers that will allow viewers to watch movies and TV shows from just about anywhere. The proliferation of viewing devices ? including a new generation of TV sets that connect to the Internet ? could boost the chances that viewers will do what cable and satellite companies fear most: cancel their $70-a-month subscriptions in favor of cheaper Web options.

Loved and feared, Hulu — the online video service that offers free streams of episodes of such popular TV shows as "Glee" and "The Office" — commands more than 43 million users. Hulu's rapid rise since its launch in March 2008 has provoked shudders in Hollywood, where it's feared the website is teaching consumers, especially younger ones glued to laptops, to expect easy access to TV's best shows — all for free. And that, providers fret, will only encourage people to drop their pay TV subscriptions, which pays for the enormous cost of producing sitcoms and dramas.

News Corp. and NBC Universal on Thursday named a little-known former executive of Amazon.com as head of its highly touted and well-financed online video joint venture. Jason Kilar, who helped Amazon.com break into DVD sales in his decade with the online retailer, brings expertise in e-commerce and a passion for delivering a great user experience for video on the Web, his new employers say.

The most ambitious attempt by television companies to retain their audiences on the Web begins today, and the early reviews are surprisingly good. Hulu.com, a joint venture between NBC Universal and News Corp., will launch with many episodes of hit NBC and Fox shows and a small sampling of movies, all with one-quarter the commercial minutes of regular TV.

General Electric Co.'s NBC Universal Inc. and Rupert Murdoch's News Corp. on Wednesday announced the name of their new Web-based network of films and television shows: Hulu. The site will start in a private testing format in October and be open to a limited number of users, the companies said in an e-mailed statement. The name was chosen because it is short, easy to spell and rhymes with itself, project chief Jason Kilar said on the Hulu website. The NBC Universal-News Corp.