This is an excellent example of why piracy is alive and well today. I occasionally get a call from my cable (internet) provider asking me if I'm interested in taking advantage of a special 'deal' to get cable TV access for around $65/month (for a limited time, of course). Each time I respond by saying "so, you've removed all the advertisements, then?"
The person on the other end of the phone usually sounds confused until I explain that I will happily pay for content, but not so long as they try to treat me as the customer and the product at the same time. I _might_ pay $10/month for a full cable package with ads, and $50/month might be reasonable for 100% ad-free content, but anything like what the standard providers are charging for ad supported content is completely unthinkable. Until then, services like Hulu are a much better deal.
And if content providers are too stupid to put their content up on those sites, I have no qualms pirating it. If I can't find a way to watch content cheaply or for free, I don't bother with that content at all. Big content -- adapt or die!