
Wal-Mart on Monday confirmed that it will purchased online movie service Vudu for an undisclosed sum.
The deal is expected to close in the next several weeks.
“The real winner here is the customer,” Eduardo Castro-Wright, vice chairman for Wal-Mart, said in a statement. “Combining Vudu’s unique digital technology and service with Wal-Mart’s retail expertise and scale will provide customers with unprecedented access to home entertainment options as they migrate to a digital environment.”
Wal-Mart said that Vudu will continue developing entertainment and information delivery solutions like Vudu Apps, its delivery platform for Internet-connected TVs and Blu-ray players. Vudu currently has a library of 16,000 movies and licensing deals with almost every major studio, as well as independent distributors.
“We are excited about the opportunity to take our company’s vision to the next level,” said Edward Lichty, Vudu executive vice president. “Vudu’s services and Apps platform will give Wal-Mart a powerful new vehicle to offer customers the content they want in a way that expands the frontier of quality, value and convenience.”
At the Consumer Electronics Show (CES) earlier this year, Vudu announced that it would abandon its hardware business for partnerships with established manufacturers. Sharp, Sanyo, and Toshiba said they would release products like Blu-ray players and HD TV’s with built-in access to the Vudu service. Prior to CES, Vudu was available in about eight products from LG and Mitsubishi – a number that jumped to 50 at the annual electronics conference.