U.S. retail store chain Walmart is reported to be negotiating to buy Vizio, a smart-TV manufacturer based in Irvine, California. Vizio is the best selling TV brand of the chain.
According to financial analysts, the acquisition would give the Bentonville, Arkansas-based Walmart an edge to compete with Amazon in the e-commerce arena.
The move to smart-TVs indicates the importance of targeting consumers and pitch shoppers. Currently, Amazon makes up 17 percent of the operating systems in connected TVs, compared with Vizio’s eight percent. The acquisition would give Walmart access to more ad inventory and massive viewership data.
In addition, advertisers are shifting budgets into the retail media space, which is now valued at almost $60 billion (a 30 percent growth from 2023).
Walmart is the U.S.’ largest retail chain by revenue, which is mostly generated by its grocery business. However, the chain’s ad unit is highly profitable and last year generated $2.7 billion in global advertising revenues.
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