UMD about to be ditched by Wal-Mart?

More bad news for Sony's UMD format: after word last month that several studios were cutting back on UMD releases or dropping support for the format entirely, it now looks like the discs are about to lose coveted shelf space in America's largest retailer. According to reports, Wal-Mart is expected to stop selling UMDs, though the company has declined to comment on the rumors. Nevertheless, a spot-check of a Wal-Mart store by journos at the Hollywood Reporter found the discs to be in scant supply, with just a handful stacked haphazardly among the PSPs. Of course, this may not mean the end for the UMD format; Wal-Mart certainly isn't the only place to buy them. However, as it gets easier (and cheaper) to use tools like the Neuros Recorder to get flicks onto the PSP, the already meager demand for films on UMD is likely to continue to dwindle, further discouraging retailers and studios. But, hey, that means you should be able to pick up remaining inventory for next to nothing on eBay and from liquidators as stores race to clear out stock. That may not be good news for Sony, but it could be a short-term boon for video-hungry PSP owners.