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Walmart said to be in talks to buy Vizio for $2B

Feb 14, 2024
Illustration of a hand cursor with the Walmart logo above the index finger.

Illustration: Shoshana Gordon/Axios

Walmart is in talks to buy smart TV maker Vizio for more than $2 billion, the Wall Street Journal reports.

Why it matters: A deal would make Walmart a larger player in connected-TV advertising and have it competing with Roku, Amazon and YouTube.

The big picture: A potential tie-up between Walmart and Vizio would be "a significant challenge for Roku," MoffettNathanson analyst Michael Nathanson wrote in a research note.

  • Were Walmart to buy Vizio, the retail corporation would prioritize the TV maker's products over other low-end competitors like TCL, Hisense and Walmart's own private-label brand Onn TV, which is powered by Roku's operating system.
  • Walmart accounted for 40% of Roku's device revenues during the first nine months of 2023.

By the numbers: Following Tuesday's report, Vizio shares jumped 25%, while Roku's sank about 9%.

  • Vizio dipped 2% Wednesday morning, while Roku was flat.

The bottom line: "Once again, 2024 is shaping up to be a year of tremendous change for an industry that was already in flux," Nathanson wrote.

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