Fandango Buys On-Demand Video Service Vudu from Walmart as Streaming Wars Intensify

Sam Blake

Sam primarily covers entertainment and media for dot.LA. Previously he was Marjorie Deane Fellow at The Economist, where he wrote for the business and finance sections of the print edition. He has also worked at the XPRIZE Foundation, U.S. Government Accountability Office, KCRW, and MLB Advanced Media (now Disney Streaming Services). He holds an MBA from UCLA Anderson, an MPP from UCLA Luskin and a BA in History from University of Michigan. Email him at samblake@dot.LA and find him on Twitter @hisamblake

Fandango Buys On-Demand Video Service Vudu from Walmart as Streaming Wars Intensify
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Fandango isn't selling many movie tickets as the coronavirus pandemic has shuttered theaters. Now the Beverly Hills-based ticketing company with a streaming arm is growing its streaming footprint by acquiring Vudu, the video-on demand service owned by Walmart.

The deal allows Fandango to further branch out beyond selling tickets to live events amid wide speculation that movie theater chains, which pay Fandango's bills, may be teetering toward bankruptcy as box offices freeze.


Fandango did not release details about the transaction. The company may merge Vudu with its FandangoNow on-demand movie rental business that operates similarly to Apple's iTunes. Doing so would strengthen its competitive position against Amazon and Apple in the Transactional Video On-Demand (TVOD) space.

And Vudu's user base is likely to perceive value in the additional Fandango services. Viewed from that angle, it makes sense that Fandango, which is owned by NBCUniversal, is acquiring Vudu on the heels of NBCU's soft launch last week of Peacock, a primarily advertising-based video on-demand (AVOD) service.

Walmart Inc. acquired Vudu in 2010 with hopes that it would be a hit among its now 265 million weekly retail and e-commerce customers. But with the streaming world increasingly dominated by Netflix and crowded with other services, the Bentonville, Ark.-based company had been shopping Vudu around to potential buyers.

Vudu announced it was being acquired on its blog, calling its new owner "the ultimate digital network for all things movies & TV."

"While there will be many more exciting things to share in the months ahead, nothing about the Vudu experience is changing – your movie & TV library is safe, and you will continue to have access to all your Vudu apps across your favorite devices," the company wrote.

Financial details were not disclosed. The company declined to comment further.

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LA-Based Apex Is Tapping Into the Small Satellite Market by Making Buses for Spacecraft

Spencer Rascoff

Spencer Rascoff serves as executive chairman of dot.LA. He is an entrepreneur and company leader who co-founded Zillow, Hotwire, dot.LA, Pacaso and Supernova, and who served as Zillow's CEO for a decade. During Spencer's time as CEO, Zillow won dozens of "best places to work" awards as it grew to over 4,500 employees, $3 billion in revenue, and $10 billion in market capitalization. Prior to Zillow, Spencer co-founded and was VP Corporate Development of Hotwire, which was sold to Expedia for $685 million in 2003. Through his startup studio and venture capital firm, 75 & Sunny, Spencer is an active angel investor in over 100 companies and is incubating several more.

​Ian Cinnamon
Ian Cinnamon

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Decerry Donato

Decerry Donato is a reporter at dot.LA. Prior to that, she was an editorial fellow at the company. Decerry received her bachelor's degree in literary journalism from the University of California, Irvine. She continues to write stories to inform the community about issues or events that take place in the L.A. area. On the weekends, she can be found hiking in the Angeles National forest or sifting through racks at your local thrift store.

Raises
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Decerry Donato

Decerry Donato is a reporter at dot.LA. Prior to that, she was an editorial fellow at the company. Decerry received her bachelor's degree in literary journalism from the University of California, Irvine. She continues to write stories to inform the community about issues or events that take place in the L.A. area. On the weekends, she can be found hiking in the Angeles National forest or sifting through racks at your local thrift store.

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InLA

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