Walmart Inc. is considering launching a video streaming service that would rival streaming giants such as Netflix and Amazon Prime Video, the Information reported on Tuesday. In order to be able to compete, the United States retail giant is reportedly considering offering the service for a lower price and free service that would be ad-supported.
The company’s motivation to enter a new market is to offer its customers a more cost-efficient option. Also, Walmart’s streaming services will primarily target Americans living in the middle of the country, whereas Netflix and Amazon are more popular on the two coasts of the United States.
The bold move is still under consideration at Walmart, no final decision has been made. The company already tried offering an on-demand video service called Vudu before, but it never hit high levels of popularity in the US. Should Walmart decide to go on with the video streaming service, it would join a number of tech companies offering access to entertainment programs to its customers for a paid subscription.