Hulu and YouTube BOTH set to launch services streaming live TV channels next year in battle to kill off the cable box

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Hulu and YouTube are both planning to launch new services offering live TV channels streamed over the internet.

Hulu today confirmed its service would launch in 2017, while Bloomberg claims YouTube is also working on a service called Unplugged for release next year.

'YouTube is working on a paid subscription service called Unplugged that would offer customers a bundle of cable TV channels streamed over the Internet, people familiar with the plan said,' according to the site. 

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FILE - This Saturday, June 27, 2015, file photo, shows the Hulu logo on a window at the Milk Studios space in New York. Hulu will offer a live-streaming service in 2017 that will offer a mix of cable and broadcast programming as well as news, sports and events. That pits the streaming service against similar offerings from Sling TV and PlayStation Vue as more and more Americans shift to watching TV online. (AP Photo/Dan Goodman, File)

It says YouTube has already overhauled its servers for the service, which is described as 'one of the online video giant's biggest priorities'  and is set to debut next year.

However, it says the firm has yet to sign up channels, despite ongoing talks.

Hulu said today it will offer a live-streaming service in 2017 that will offer a mix of cable and broadcast programming as well as news, sports and events.

That pits the streaming service against similar offerings from Dish's Sling TV and Sony's PlayStation Vue as more and more Americans shift to watching TV online.

CEO Mike Hopkins confirmed the news at a presentation in New York on Wednesday but gave few specifics.

'Very soon, fans will be able to enjoy favorite shows and cheer for favorite teams, all on Hulu,' in a 'deeply personalized experience,' he said.

As more people bypass traditional TV services in light of extensive online offerings from the likes of Netflix and HBO Now, cable and satellite TV companies have been offering their own Internet-based TV services. Dish debuted its $20-a-month Sling TV service last year. 

Comcast and other cable companies have also experimented with online TV packages, though none are offered beyond a few markets. 

And Sony has been expanding its PlayStation Vue streaming service.

Hulu did not give details on the exact partners it will be working with on the streaming TV service, the exact programing that will be included or what pricing options their might be.

Separately, Hulu, which launched a virtual-reality app in March, said it will partner with event company Live Nation Entertainment Inc. to create a VR concert series later this year.

By months end, Santa Monica, California-based Hulu will have 12 million monthly subscribers, compared with rival Netflix Inc.'s 75 million worldwide. 

Hopkins says that Hulu will discuss the service in more detail over the rest of the year.

Some of the content available on Hulu's current service: The streaming firm's new service would mix its current on demand content with streamed feeds.

According to the Wall Street Journal's sources, the company hopes to launch the new cable TV-style online service in the first quarter of 2017.

It claims Walt Disney Co. and 21st Century Fox, which are co-owners of Hulu, are near agreements to license many of their channels for the platform.

'Disney's ABC, ESPN and Disney Channel are expected to be available on the service along with the Fox broadcast network, Fox News, FX and Fox's national and regional sports channels,' it says.

The WSJ also claimed preliminary conversations with other programmers have begun - but that Hulu will stick to offering a small number of 'core' live channels. 

Recently the firm launched its first VR app allowing viewers to watch movies in a virtual living room.

It will initially support Samsung's Gear VR headset, and is expected to add support for the Oculus Rift, which will begin being delivered to consumers on Monday following four years of development.

The firm said it is also launching special 360 shows. 

It will initially support Samsung's Gear VR headset, and is expected to add support for the Oculus Rift, which will begin being delivered to consumers on Monday.

'Today, we are excited to make the Hulu virtual reality app available and viewable on Samsung's Gear VR powered by Oculus,' the firm said.

'With this initial launch, we will be bringing the Hulu app that you already know and love to VR and augmenting the experience with some of the very best 360-degree video content available.'

Hulu subscribers will also be able to watch the entire Hulu 2D library in immersive 360-degree environments.

It will launch with more than 25 pieces of exclusive and premium content from Baobab Studios, Discovery Communications, Las Vegas, The National Geographic Channel, RYOT, Showtime Networks, SilVR Thread, Spoke, Studio Transcendent, The Uprising Creative and Viacom available in the Hulu VR app. 

All 3D virtual films are available for every VR app user to experience, with or without a Hulu subscription.

The new VR app also includes Hulu's first originally produced VR short film, 'The Big One.' 

For the short, Hulu partnered with Lionsgate to bring Freddie Wong and his RocketJump brand into the virtual reality space. 'The Big One' invites users to witness a meteor shower that soon turns into an apocalyptic nightmare.

Hulu will initially support Samsung's Gear VR headset

Just like with VR content, the 360 degree environments in the Hulu app transport viewers into immersive settings to watch their favorite show: sitting in a comfortable living room, watching a movie in a big screen theatre, or kicking back on a scenic beach. 

Viewers can interact with each 360-degree environment and change the ambience which includes outside scenes, lighting and look and feel to their preference.

The Hulu VR app is currently supported on Samsung Gear VR powered by Oculus, which works with the Galaxy S7/S7 edge, Galaxy Note5, Galaxy S6 edge+, Galaxy S6 and Galaxy S6 edge phones.

Additional supported devices and platforms are coming soon.

'We are at the very beginning of VR and like everyone involved in VR technology and content, we at Hulu, have a lot of learn about what makes for a great VR experience in the eyes of the viewer. 

'We are super excited about our first steps into VR. Try it out and let us know what you think!

Oculus said 30 games will be available for the eagerly anticipated headset when it goes on sale in March 28th.

Forget being the reserve of hardcore gamers, Mark Zuckerberg believes virtual reality is the future of communicating and socialising.

The billionaire founder of Facebook called headset-based technology 'the next platform', following on from traditional social media websites such as his own social network.

He made the comments during a surprise appearance at Mobile World Congress in Barcelona.

'At Facebook we think about giving people richer tools,' the 31-year-old said.

'Going back 10 years most of what we shared was text, and then it was photos. And now we're entering a world where that's video. 

'But pretty soon we're going to live in a world where everyone has the power to share and experience whole scenes as if you're right there in person.'

Facebook, which bought virtual reality firm Oculus for two billion US dollars in 2014, has since partnered with Samsung to create the Gear VR headset, which can be bought for less than £100 and works by slotting a Samsung Galaxy smartphone into it to use as a screen.

'VR is the next platform, where anyone can create and experience anything they want,' Mr Zuckerberg added.

'I think about my baby daughter and the way I want to remember when she takes her first steps,' he said.

'When I took my first steps, my parents just took a pen and wrote the date down in a baby book...when my cousin, when her son took his first steps, she took a photo with a camera. 

'My sister, when her son took his first steps, she took a video on her phone. 

'But I want to capture the whole scene, so I hope we can take a 360 video.

'So that way, even if my parents and my family aren't there to experience it in person, they can feel like they're right there with us. VR is the next platform, where anyone can create and experience anything they want.'

Zuckerberg said that since Gear VR launched in November 2015, the response has been incredibly strong.

More than 200 games and apps are now available for the platform in the Oculus store, and people have already watched more than a million hours of video in Gear VR.

The demand for more immersive videos is growing too. More than 20,000 360 videos have been uploaded to Facebook, with hundreds more added daily.

Facebook is bringing its 'dynamic streaming technology for 360 to Gear VR, which increases video resolution in VR by four times, while reducing the bandwidth needed to view it - 'so videos in VR look clearer and play faster.'

'Right now, VR is mostly used for games and entertainment, but that's quickly evolving, and one day you're going to be able to put on a headset and that's going to change the way that you live, work and communicate.

'So imagine being able to sit in front of a campfire and hang out with your friends any time that you want, or watch a movie in a private theatre with your friends any time you want. Imagine holding a group meeting or event anywhere that you want.

'All these things are going to be possible, and that's why Facebook is investing so much early on in virtual reality, so we can help to deliver these kind of social experiences.'