Yahoo has submitted a bidding plan

Absrtact: Last week the board was approved for a 1.1 billion dollar deal to buy light blog Tumblr, and Yahoo joined the video site Hulu to bid for the war. But Yahoo faces at least 6 rivals, including Time Warner, a private-equity firm, KKR Co. (hereinafter

Last week, the board had just been approved for a 1.1 billion dollar deal to buy a light blog Tumblr, and Yahoo joined the video site Hulu to bid for "war." But Yahoo faces at least 6 rivals, including Time Warner, a private-equity firm, KKR &co. (hereinafter referred to as "KKR"), Silver Lake and so on.

At present, Hulu has not entered the formal merger process, it simply requires the intention to submit the offer by Wednesday. Yahoo has reportedly submitted a bid.

Yahoo's desire to buy Hulu is in fact expected. In the global video market, Google's YouTube is a monopoly, and Yahoo's core business-the image and video advertising business is facing many challenges.

According to Yahoo earnings: in the first quarter of this year, Yahoo's total sales of 40% of visual advertising revenue fell 11%, compared with the same period last year, the number of visual advertising business and prices have declined.

Since Marissa (Marissa Mayer) as Yahoo CEO, she has been stressed to investors: Yahoo will "move first" direction of transformation, video will be the future development of an important strategy.

Yahoo is negotiating with Dailymotion in March 2013, hoping to buy 75% of the share of the video-sharing site with 300 million dollars. But one months later, the French Government considered Dailymotion very important and was supposed to be in power by French companies, thus terminating the takeover plan.

After the deal was broken, Mayer quickly turned to another video site Hulu. Public information shows that Hulu was founded in 2007, mainly to provide users with online TV subscription. The company now offers more than 70,000 complete TV shows, including a popular dating show, with a monthly audience of 22 million, of which 4 million are paid subscribers who pay 8 dollars a month.

Meet Yahoo's "mobile + video" Two points to provide a good mobile-end video experience for paid subscribers and, more importantly, buy Hulu to help Yahoo boost its video advertising business. At present, Hulu has two kinds of advertising services, a journalist from the first financial journal has found. One is a free computer service, a Hulu Plus service that allows users to pay 7.99 of dollars a month to watch Hulu's video content on a smartphone or tablet computer. Advertising rates for these types of advertisements are higher than graphic or search advertising.

Yahoo, for its part, is looking at the quality of Hulu's programs, which can boost its online advertising business through acquisitions.

Earlier this month, the news of Ms. Mayer's frequent meetings with Hulu appeared to be preparing for a takeover of Hulu. But there are now more than 6 bids for the consortium, namely DirecTV, Time Warner Cable, Silver Lake Investment Group, KKR, Guggenheim Digital Media, and Ning Group.

For bidders, Hulu represents one of the best-known brands in the online video industry. Cable service providers are interested in Hulu because they want to support their services, allowing users to watch movies and TV dramas from mobile devices. The Levinsohn Digital Media Group (Guggenheim Digital Media), led by Yahoo's former CEO Ross Levinson Ross, also submitted a bid.

Currently, Walt, News Corp and Comcast each hold about one-third per cent of Hulu.

"If you believe in the long-term growth potential of online video, Hulu's valuable brand name and early-creation advantage will make the company a very good target," said Paul Sweeney, a Bloomberg industry analyst Paul Swini.

An investment bank analyst told reporters that Hulu's value could be as high as $1 billion to $2 billion, and that it is not yet known whether Yahoo, the acquisition of bulldozers, could stand out in the bid, after all, rivals are at least financially equal.