Apple is attempting to put together a $30/month package for live
streaming TV via iTunes. I think there are too many roadblocks
(getting providers to agree, dealing with end user's bandwidth
limitations) for this to really be doable, but it's an intriguing
idea. I love Hulu, but if/when they go to a paid model I'll stop
watching. When I was a Comcast subscriber, they never could get the
"Watch It Now" streaming on-demand working in my neighborhood, and
they had complete control over the distribution framework. I'm
assuming Apple would have to implement a bandwidth-sensitive streaming
protocol similar to Netflix, but how many will be happy to trade their
1080 image via cable/satellite for a VGA image via iTunes?