To watch ads or not to watch ads, that is Hulu's question.
The streaming-video service today announced a new commercial-free option for subscribers.
Current subscribers will maintain their existing $7.99-per-month subscription, but have the option to upgrade to an ad-free version for an additional $4 per month.
"At Hulu, we pride ourselves on listening to our customers and giving them the best possible experience," CEO Mike Hopkins said in a statement. "Many of our customers have asked us for a commercial-free option, and so today we are excited to introduce just that."
One of the big drawbacks to Hulu was the fact that, even with a premium subscription, users still had to sit through ads. It's not totally surprising, though, given that Hulu is backed by major studios. Hulu also gets TV content much faster than sites like Netflix. To that end, Variety says that seven popuar shows, including Scandal and New Girl, will still include a 15-second preroll ad and 30-second post-roll ad even for those with the "ad-free" plan.
Recommended by Our Editors
Rumors of an ad-free service cropped up in July, with reports that the "NOAH" project (No Ads Hulu) could be priced between $12 and $14 per month. The company's new $11.99 tier puts Hulu somewhere between Netflix ($7.99 per month) and HBO Now ($14.99 per month).
Today's announcement comes just days after Hulu signed a multi-year subscription-video-on-demand deal to bring new releases from Lionsgate, MGM, and Paramount to the streaming site, starting Oct. 1. Hulu also snagged the Epix lineup of blockbusters, comedies, indie favorites, and original specials after Netflix declined to renew its agreement with the cable network.
At launch, films like Teenage Mutant Ninja Turtles, Star Trek: Into Darkness, Wolf of Wall Street, Jack Ryan: Shadow Recruit, and Robocop will join high-profile flicks Hunger Games: Catching Fire, World War Z, and Transformers: Age of Extinction.
Craig Erwich, senior vice president and head of content at Hulu, said the "landmark deal" makes way for "a huge expansion" of the company's premium programming—now available without advertising breaks.
"Providing more choice for consumers is fundamental to the Hulu experience," Hopkins said. "In addition to an array of choices in content and devices, our customers can now choose to watch with or without commercials."