Home TECH NEWS Walmart may launch a video streaming service to battle Netflix

Walmart may launch a video streaming service to battle Netflix

182
0
SHARE

Walmart is battling Amazon in online retail, groceries, and urban home delivery. It may now be opening up another front in its war: video streaming.

Walmart, the world’s biggest company by revenue, is considering building its own Netflix-like service to compete directly with Amazon Prime, as well as Netflix, Hulu, AT&T’s Audience, and impending products from Disney and Apple, The Information reported (paywall).

Walmart recently signed a five-year agreement with Microsoft to use its cloud services across the company. Microsoft’s cloud service is the biggest competitor to Amazon’s AWS, and there are rumors that Microsoft could help Walmart even further. The retailer may test and implement cashierless technology created by Microsoft in its stores, which would eliminate the need for check-out lines. Amazon Go stores already use a similar technology, and Amazon plans to open more locations

 

Walmart already owns Vudu, a video-on-demand platform for Hollywood movies and TV, but it’s reportedly contemplating developing its own programming and offering it for less than $8, undercutting Netflix and Amazon. Walmart is interested in pitching shows to viewers in middle America, whom Walmart believes aren’t being served by the incumbent services and their focus on coastal audiences, according to The Information. Walmart didn’t immediately respond to a request for comment.

Original programming is expensive, but Walmart isn’t afraid to spend money to ensure it remains competitive with Amazon, which it regards as an existential threat. In recent years, it bought online retailer Jet.com for $3.3 billion, snatched up smaller sites like Bonobos and ModKloth, and spent $16 billion to buy Flipkart, outbidding Amazon to gain a foothold on the subcontinent.

It’s unclear what content would populate Walmart’s streaming service. Both Netflix and Amazon feature licensed content on their services, but all companies involved in the streaming wars are throwing piles of cash at original programming. Netflix, Amazon, Hulu, and Apple all plan to spend billions in the coming years to produce original shows and movies, hoping new content will garner success similar to that of Netflix’s Stranger Things, Amazon’s The Marvelous Mrs. Maisel, and others.

 

LEAVE A REPLY

Please enter your comment!
Please enter your name here