Walmart seeks Web movie magic with Vudu

Walmart announced that it will acquire Vudu, a provider of digital technologies and services that enable the delivery of entertainment content directly to broadband high-definition TVs and Blu-Ray players. The deal is expected to close within the next few weeks.

Through Vudu, consumers with broadband-ready TVs and Blu-Ray players can rent or purchase movies through the Internet.

"The real winner here is the customer," said Eduardo Castro-Wright, vice chairman for Walmart. "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."

Under the agreement with Walmart, Vudu, which is based in Santa Clara, Calif., will become a wholly-owned subsidiary of Walmart.