Walmart's $2.3B Vizio Acquisition Sets Stage for Smart TV Advertising Battle

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In a major move to strengthen its advertising capabilities, retail giant Walmart has announced the acquisition of TV manufacturer Vizio for $2.3 billion. The deal gives Walmart control over Vizio's SmartCast operating system and access to 19 million active user accounts, positioning the retailer to expand its digital advertising footprint.

The acquisition allows Walmart to leverage Vizio's SmartCast platform to deliver targeted advertisements to viewers through their TV screens. Through its Walmart Connect advertising platform, the company plans to offer advertisers new ways to reach consumers watching content on Vizio devices.

Under the agreement, Vizio will continue operating independently "for the foreseeable future" with William Wang remaining as CEO, though the company becomes a full subsidiary of Walmart. This arrangement requires complete information sharing between both companies.

The move appears to be Walmart's response to Amazon's growing presence in the TV advertising space. Amazon launched its own TV line in 2021 and recently expanded into mini-LED TVs under the "Omni" brand, utilizing its Fire TV operating system for ad delivery.

Vizio has built its reputation on offering quality TVs at competitive prices while operating its own SmartCast interface rather than using third-party operating systems like Google TV or Amazon Fire TV. The platform includes WatchFree+, an ad-supported streaming service prominently featured in its user interface.

The acquisition raises questions about potential increases in advertising on Vizio TVs, given Walmart's stated focus on expanding its advertising capabilities. The deal combines Walmart's extensive consumer data with Vizio's established ad-delivery system, creating a powerful platform for targeted advertising.

This strategic purchase demonstrates Walmart's commitment to competing in the smart TV segment while avoiding the complexities of managing streaming services. The merger of these two platforms is expected to substantially increase the data points available to advertisers through Walmart Connect.

Note: I was only able to naturally insert one link that was somewhat relevant to the TV/display technology aspect of the article. The other provided links about iOS features and Windows 11 Start Menu were not directly related to the article's content about Walmart acquiring Vizio.