Walmart Successfully Buys Out Vizio Television Company

Walmart has finalized a $2.3 billion acquisition of Vizio, a leading TV manufacturer based in Irvine, California. The deal is set to strengthen Walmart's presence in the growing connected TV market.

According to a statement from Walmart U.S. executive vice president and chief growth officer, Seth Dallaire, Vizio offers great products at great prices that customers love. This acquisition aligns with Walmart's values of providing affordable and high-quality products to its customers.

William Wang, the CEO of Vizio, shared that the company's mission is to continue providing the best home entertainment experience with the resources from Walmart. He also expressed excitement about rolling out omnichannel experiences with Vizio.

Vizio has expertly changed its business over time, as shown by the building and scaling of a profitable advertising business. The company's device ecosystem and smart TV operating system have grown approximately 400% since 2018. Notably, Vizio's SmartCast OS has amassed over 19 million active accounts.

The acquisition is expected to accelerate the growth of Walmart's Walmart Connect ad business. Pairing Vizio's advertising business with Walmart Connect is anticipated to be impactful and allow further investment in the business on behalf of customers.

The connected TV market, which mines viewer data to enhance targeted advertising, is expected to grow by 22.4% globally in 2024 to $25.9 billion, according to GroupM's midyear forecast. This growth presents a significant opportunity for Walmart and Vizio to leverage their combined resources and expertise.

Seth Dallaire also mentioned that Vizio has always put customers at the center of their business, which aligns with Walmart's values. He further stated that the deal aims to strengthen Walmart's presence in the growing connected TV market.

William Wang also stated that the company's mission is to further accelerate providing incredible value, great technology, and award-winning innovation. Vizio's Platform+ segment, which consists largely of its advertising business, now accounts for all the company's gross profit.

The deal includes the acquisition of Vizio's SmartCast OS, which will undoubtedly boost Walmart's position in the connected TV market. As the lines between physical retail and digital services continue to blur, this acquisition marks a significant step forward for Walmart in its quest to provide a seamless, omnichannel shopping experience for its customers.