October 30, 2019
As the industry prepares for the impending launch of SVOD services Disney+ and Apple TV+ next month, Walmart is looking into selling its 15-year old Vudu on-demand video service, according to sources.
According to a report from The Information, citing people familiar with the situation, the retailer has concluded that it would have to make a substantial investment in Vudu to compete. It might make more sense to partner with media companies to offer content to customers, and the retailer has decided the on-demand service isn’t part of its core business, according to the anonymous sources in the report.
Vudu, which began as a company making set-top boxes in 2004, evolved into a video delivery service and was sold to Walmart in 2010. It rents and sells digital movies and TV shows (EST).
“Over the last nine years, we’ve built Vudu into an incredibly strong and growing business with an installed base of more than 100 million devices across America,” a Walmart spokesman wrote The Information. “We’re constantly having and [are] open to conversations with new and existing partners to explore opportunities for continued growth; however, we never share details of those discussions.”
Vudu is one of eight retail partners in the Movies Anywhere library collection service. The others are iTunes, Amazon Prime Video, Google Play, Microsoft Movies & TV, FandangoNow, Xfinity and Verizon, which just joined the service about a month ago.