February 26, 2010

Walmart says no thanks to porn channel

Vudu bought by WalmartNot happy with huge profits in the bricks-and-mortar retail world, Walmart recently took a dip into the potentially lucrative pool of digital media. It purchased online content provider Vudu Inc, a service that allows people to rent or buy media online and watch it on their television. Two days later Walmart dropped AVN's “After Dark” adult programming channel from the service.

According to a Vudu spokesperson, adult content was not in line with Walmart sensibilities. Customers who had purchased explicit content should be getting a refund.

An e-mail was sent to various producers who relied on the 'After Dark' service to sell their goods. "As you may have recently heard, VUDU was acquired by Walmart," the email reads. "In conjunction with this acquisition we will be discontinuing the 'After Dark' adult service over the coming days. Upon completion of the shutdown process, we will settle all accounts with you and ensure that you are paid the full amount you are owed under our existing agreement."

Vivid Entertainment's Steve Hirsch told XBIZ his company was not concerned by the changes. Vudu's distribution potential was limited at best.

Hustler president Michael Klein added that most IPTV (Internet Protocol television) providers were just as limited as Vudu in providing a quality service. "We're always exploring IPTV deals but we're not moving our content because we're not really impressed with any particular IPTV carrier," Klein said.

Walmart and Apple should consider joining forces, they'd get along so well.

Walmart Drops AVN 'After Dark' Porn Channel From Vudu [XBiz]

LINK


xxx