Hulu inexplicably stopped allowing TV streams across the Sony PS3 Console recently. But now we have a reason why. A Hulu spokesperson has )at last) revealed why they blocked its free catch up tv streams on PS3.

The reason seems to boil down to Hulu having legal issues with one of the content providers who does not want the playstation 3 inteferring with revenue generated by traditional television distribution channels.

“Everything we do is with an eye toward achieving our long-term goal of maximizing the content you can access as conveniently as possible in a way that ‘works’ for the content owner. In the short term that may require us to make some tough decisions, but we only do so when we believe it improves our long-term prospects to build a more enduring, legal solution to that same problem.”

“However, in the near future,” says Hulu, “the windowing strategy is still dominant in the business. Billions of dollars flow in across these different windows, and entire companies are organized around them. Nothing productive comes from flouting that reality (except to law firms who work on the occasional lawsuit).”

So in effect, Hulu are saying stick with us while we wean the studios off of the release windowing system whereby a movie “begins in theaters, then moves to pay per view and DVD, then to pay cable channels, then to broadcast tv, and so on down the line” – which has proved so lucrative and successful up until now.

And of course the TV studios want to keep a cast iron grip on distribution on the net until they figure out how to control it.

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