New York (CNN Business) Hulu said on Wednesday that it now has 26.8 million paid subscribers on its service, with an additional 1.3 million who use promotional accounts.

Hulu CEO Randy Freer

Netflix NFLX The increase is a sizable one for the streaming video company. But Hulu still lags far behind , which has nearly 150 million subscribers globally , 60 million of whom are from the United States. Hulu is available only in the United States.

Hulu also has a different revenue model than Netflix because it has a plan that includes commercials as well as an ad-free version. Netflix doesn't sell ads.

"In today's direct-to-consumer world, viewers are demanding better when it comes to TV — from the user experience to their content choices to the advertising," Randy Freer, Hulu CEO, said in a statement.

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