Hulu Plus – the beginning of the end of cable TV? [updated]

Today Hulu announced a new product, Hulu Plus. For just $9.99 per month you get full current seasons popular TV shows (not just the five most recent episodes) and entire past seasons as well.
You will be able to get all seasons of (but not limited to):
- The Office
- X-Files
- Arrested Development
- Heroes
- 30 Rock
- SNL
- Dancing with the Stars
- Grey’s Anatomy
You can see the entire list here.
Watch out Comcast
By signing up with Hulu, networks are effectively bypassing cable companies and creating their own distribution network. It’s the cable companies’ worst dream come true: they’ve become dumb pipes. And when your only differentiation from your competition is speed and bandwidth, Moore’s Law takes over and prices fall. Sorry suckas! (But not really.)
Everyone wins
This is great news for the consumers. Instead of paying $78/month for cable (and a bunch of shows you don’t want to watch), cancel your cable (or drop it down to basic cable so you still have your local news and sports) and keep your Internet. Pay Hulu $9.99 per month and get the most popular shows streaming whenever you want them; no cable bill, no DVR hardware nor DVR subscription fees to worry about. Watch them wherever you want – no Slingbox required.
The networks win because they’re doing what iTunes did for digital music – making it so affordable and so easy to legitimately get media that most folks won’t find it worth the effort to pirate it.
OK. That was a lie. Not everyone wins. The cable companies take one giant step toward obsoleteness. Suckas!
Hulu – Not just on your computer
Another perk of Hulu plus is that you’ll be able to watch your content on your HDTV. Yes, content is coming in HD and will be streaming to certain Internet-enabled TVs, Blu-Ray players, set-top boxes, game consoles and – here’s the kicker – the iPhone, iPad and iPod Touch.*
I’m so excited about that I think I just wet myself a little.
Bonus: Save money on DVDs
Want to catch up with Psych (great show) and see if you can find the pineapple in each episode? You could go buy all four seasons for, on average, $30 per season or you can plunk down $9.99/month and watch them all over a couple of months. Then, if you really love it and want to invest in the DVDs you can do so.
What do you think? Is it this really as earth-shattering as I’m making it out to be? Would you kill your cable TV and just go with Hulu? Leave word in the comments.
UPDATED: As Zach mentioned below, there will still be ads in the shows. Does it suck? Yes. Does it mean they have the opportunity to deliver more relevant advertising which, hopefully, won’t be as annoying? Yes. I’ll keep my fingers crossed.
* The apps are available now in the App Store but the service isn’t so I haven’t had a chance to see how well the work.
