With its traffic increasing and its content partners murmuring about pulling content without altered terms, Hulu has some major decisions to make in the coming months if it’s to remain a viable online video service.

For a relatively new company, Hulu has a lot of history behind it. After bursting onto the scene a couple of years back , Hulu quickly grew into one of the most popular video sites on the web. As the site’s traffic increased, so did its content partners’ concerns about their products being devalued.

Now, ABC and Fox are considering pulling their shows from Hulu, or at least forcing longer delays on how soon their shows can appear on Hulu after airing.
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Hulu may have to enter in to such delay deals to keep its content coming.

In another move, Hulu could become a virtual cable operator by creating a subscription TV service. Alternatively, Hulu could tie its ad-supported content to one or more cable subscription services.
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Whatever it decides to do, Hulu will need to do it quickly, with competitors such as Netflix and YouTube making deals with content providers and/or ramping up their offerings.

Hit the comments and let us know what you think Hulu will do to please both its users and content providers.

(via GigaOM)