Walmart is set to make a play for your living room. The company has acquired online movie service Vudu, just over a month after rumors about a deal first surfaced.
According to The New York Times, “the two companies began informing Hollywood studios and television manufacturers of the deal on Monday.”
Those manufacturers include the likes of LG, Sanyo, Toshiba and Sharp, who have signed deals with Vudu to put its service on its television sets. Previously, Vudu (which we first covered in early 2007) required its own separate box, but the company has since shifted strategy as the trend towards Internet-enabled televisions (see our coverage of this year's CES for many examples) continues to accelerate.
This is an interesting move for a couple of reasons. For one, as we said last month, it puts Walmart head-to-head with the likes of Netflix and Amazon. But also, Walmart is a huge retailer of televisions –- it has the ability to drive sales of Internet-connected TVs with Vudu on board. NYT speculates that one day this might enable Walmart to move further into the delivery of content and merchandise to consumers via television.
Update: Walmart has confirmed the acquisition of Vudu, writing in a statement that ""The real winner here is the customer. Combining VUDU's unique digital technology and service with Walmart's retail expertise and scale will provide customers with unprecedented access to home entertainment options as they migrate to a digital environment."