Wal-Mart prepping a download store, too?
By Paul Miller 
posted Sep 16th 2006 10:30PM
posted Sep 16th 2006 10:30PM
We've heard rumblings for a while -- and Wal-Mart's purported intense opposition to the iTunes Movie Store might've had something to do with it as well -- but now the rumors are coming hot and heavy in regards to a movie download store from the retail giant. First off, we have a new job listing from Wal-Mart in regards to a business manager for a digital video division who can sort out "pricing strategies to maximize market share." And then there's a report by CNN Money citing "sources" that say Wal-Mart is hoping to launch in the coming months, and is currently debating pricing structures. (If only they had a business manager who could sort out "pricing strategies to maximize market share.") Wal-Mart is also supposedly considering in-store kiosks, and a deal to allow for a free digital version of a movie with the purchase of a physical DVD, or at least for a few dollars more. Wal-Mart of course wouldn't confirm or deny these report, but dropped some big juicy hints such as: "Our customers want to watch movies and they want to be able to make the choice when and how they want to view them." Right now it looks like a natural move for Wal-Mart, and we sure wouldn't complain if they manage to drive prices down -- as seems to be their way -- but we'll let them and that business manager figure things out for now while we head over to iTunes for a bit of The Princess Diaries.[Via Techcrunch]
Read - Wal-Mart sets stage for digital action
Read - Wal-Mart moves on digital movie downloads
The only four words you need to know when it comes to the modern video business:
Netflix (and) the long tail.
There's a reason why Netflix is successful and nobody else is right now. The competition hasn't yet figured it out. Like Apple's success with the iPod, they may never. Or at least not for many years.
you dumbbutts! they already have one!
I wouldn't touch that with a 10 billion mile long metal pole.
walmart has horrid worker treatment. wouldnt touch their stuff.
The one thing Wal Mart doesn't have that Apple does, is a media conglomerate behind it willing to release digital content. Disney has a huge library. And ABC is providing popular content too.
Wal Mart can only bully the movie studios into giving them a price where they can compete with Apple, which they may not be inclined to do. Even if they do pursuade some studios, why would Disney offer content to a competitor at a lower price?
Wal Mart is on the outside and they know it. I think media companies will realize they can sell direct someday, and they'll exploit it.
Hmm didn't walmart already try to do the online DVD rental one time and pulled out? I don't think they have a chance against Apple.
"Even if they do pursuade some studios, why would Disney offer content to a competitor at a lower price?"
Uhhh... I know Jobs is on the board and all, but Apple and Disney are still seperate entities and Disney is still in the business of making money and they answer to a lot of other people besides Jobs. If Wal-Mart offers them an opportunity to make money, beleive me, they'll jump on it. Until Disney buys Apple (or Apple buys Disney), Disney doesn't sell anything digitally directly, yet.
Great. Let's help ignorance along by dumping even more capital into the axis of evil. Or better yet, let's get edited versions of video downloads all while supporting a company that can't pay the healthcare costs associated with having employees.
What's next Wal-Mart? Direct to digital food court for your digital downloads so you can enjoy your crippled DRM videos with those delicious ICEE's?
cjblack: They already have one of what? Wal-Mart does not have a movie download service, nor do they have a mail-order movie rental service anymore. They promote Netflix now.
I know people hate Walmart, but I love the 88 cent songs. No one has that, that I know of. 7 burns to CD, plus unlimited transfers to and from your MP3 player is nice.
I wonder is it going to have the same level of success as the Walmart Digital Music store?
gosh i hate wal-mart
did u know they hire as few people as possible for full-time just so that they dont have to provide health/medical benefits/pensions etc. etc.
we have one like 10 miles from my house. i hate it. put all the really cool stuff out of business. wal-mart suxxx
Wal-Mart has Zune pages up on their website already...
http://www.walmart.com/catalog/catalog.gsp?cat=538220
how is it that walmart can get pricing at 88 cents a track an nobody says foul but when Apple did it at 99 cents the labels cried foul. Now Walmart is going to undercut Apple again and the studios are gonna say that's ok. Steve has been pushing low prices the best he can with the best tech. If he could he would give away songs but studios and artist would allow that. It makes no sense to me... seems pretty hypocritical at times, then again I guess there are more important things than low price.
Wal-Mart is a great company to work for but there download service prob won't be as good as iTunes movie store.
There's no way this will be popular, and it's simple. They don't have hardware, and the hardware they sell will suck.
As for low prices, get a grip!
Aldi's, dollar stores, Target, even EB mostly offer lower prices on most stuff. Walmart hasn't had the lowest prices on anything except appliances in a while.
Aldi's - cheaper food, Wegman's better food cheap, Target - clothing, Best Buy/Circuit City/EB - games and movies cheaper. Plus, you can get most games/movies used at Blockbuster/EB. Walmart is for chumps and towns where there is no other choice.
Once Sam died, they started pushing their margins up.
AS for mp3 pricing, I never got that either. Why is Itunes so evil when they insist on uniform pricing? Any track that is $2.50 won't sell, they'll just fire up limewire or whatever. And has partnering with MS or Walmart EVER increased anyone's profits? Nope. They both play your competitors off of you until you're selling $300 computers with $100 copies of Windows.
Great. Just like the music we buy from Wal-Mart, the movies will have all swear words beeped out, and violent and sex scenes removed.
I don't need Wal-Mart -- or anyone -- deciding what content is too immoral to view for me. Thanks anyway though.
Can I rent "The high cost of low prices" there?
I will never step 100 ft near a Wal-Mart, or a walmart url.
Sounds cool. Lets see how they do.
Walmart is NOT successful with their digital music service, despite the lower prices. I don't expect this to be any different.
That's all well and good for wal-mart, but I've got a question. How do they plan on competing when the majority of their customer base rarely has access to broadband, would on average have little to no knowledge of computers, and at least 30% of those customers don't have credit cards?