*By Carlo Versano* Walmart, the world's largest retailer, is making a big play to get into content. The company this week announced a partnership with movie studio Metro Goldwyn to create video for its nascent Vudu platform. The deal will also give Walmart access to MGM's vast IP catalog. It coincides with another announcement from the retailer of a joint venture with Eko, an interactive video company, to create content for Vudu and its website. But does this mean Walmart ($WMT) wants to go toe-to-toe with Netflix? Not necessarily, said Business Insider's Kate Taylor. "It's not clear if they want to compete in the same way" with companies like Netflix ($NFLX), Hulu, and Amazon ($AMZN), which all pour billions into original content. Instead, Walmart's strategy appears twofold. One: create an "ecosystem" for customers that builds loyalty (similar to Amazon Prime) and "gets people to shop at Walmart more," Taylor said. The company would probably be fine with losing money on content if that material boosts sales at stores, she added. Secondly, Walmart wants to produce material that appeals to families and customers who might not be interested in many of the edgy, high-brow shows being developed on the major streaming platforms. "I don't think Walmart's going to go for that," Taylor said. "It's definitely \[for\] a different market." The first programming to come from the MGM ($MGM) partnership has already been announced ー a digital series reboot of the 1983 Michael Keaton comedy film "Mr. Mom." That's an indication to Taylor that the strategy is to target families and rural viewers ー not the critics or the "coasts." Vudu is ad-supported. It's unclear if Walmart plans to add a subscriber component to it, but Taylor said it's more likely the MGM content will be free with ads. Walmart suggested the MGM deal was part of a plan to prop up the struggling Vudu platform ー which only averaged 2 hours of watching time per household in [January](https://talkbusiness.net/2018/07/new-reports-suggest-walmart-may-seek-to-compete-in-video-streaming-market/), far less than Netflix, at 25 hours, and Hulu with 30. But analysts don't expect the retail giant will wade too far into content production. Walmart bought Vudu in 2010 for a reported $100 million. For full interview [click here](https://cheddar.com/videos/how-will-walmarts-original-content-compete).

Share:
More In Business
Ford Cuts Production of F-150 Lightning Electric Truck
Ford says it’s reducing production of the F-150 Lightning electric pickup vehicle as it adjusts to weaker-than-expected electric vehicle sales growth. The automaker said about 1,400 workers will be impacted by the move.
Apple Overtakes Samsung as Top Seller of Smartphones
Dan Ives, Managing Director and Senior Equity Analyst at Wedbush Securities dives deeper into a report by the International Data Corporation (IDC) that Apple has ended Samsung's 12-year reign as the world's largest smartphone seller.
AI is the Big Opportunity and the Risk to Watch at Davos
Artificial intelligence is the biggest buzzword at the World Economic Forum’s annual meeting in Davos. Advances in generative AI stunned the world last year, and the elite crowd is angling to take advantage of its promise and minimize its risks.
A Smarter Smart Phone?
Smartphones could get much smarter this year as the next wave of artificial intelligence seeps into the devices that accompany people almost everywhere they go.
Who Could Be The World's First Trillionaire?
In an annual assessment of global inequalities, Oxfam International said the first trillionaire could emerge within the next decade — as the anti-poverty organization pointed to the growing wealth gap that skyrocketed globally during the pandemic.
Load More