For context, last years IPO was expected to raise $300MM on a $2 billion valuation[1]. However, it was also reported that even with $240MM in revenue, a lack of long-term content licenses sidelined the whole affair[2].

What really boggles the mind is the stated reason for a sale: "concerns that the site's success is undermining the traditional television business". If Netflix can hold-on and capture enough quality content, these old-school players will eventually go the way of the big record labels. Hulu's existence actually indicated that they might have learned from the music industry's mistakes.

[1] http://venturebeat.com/2010/10/08/hulu-ipo-report/

[2] http://www.businessinsider.com/hulu-ipo-knocked-off-track-by...