Walmart bought Vizio

After announcing plans to acquire Vizio in February, Walmart officially owns the company after the $2.3 billion transaction closed on Tuesday. The retail giant says the acquisition will help bolster its advertising business, as Platform Plus — the TV-maker’s advertising and data division — “accounts for all the company’s [Vizio’s] gross profit.”

All that data will be a boon for Walmart’s growing advertising business, which has already started leveraging shopper information to target ads on Disney Plus and Hulu. The move will likely open up more opportunities for Walmart to sell more ads on Vizio TVs in stores, something it talked about expanding earlier this year, and maybe even stick ads on the Vizio TVs in people’s living rooms.

The deal has raised concerns among privacy advocates, as Vizio has gotten in trouble over advertising and data tracking in the past. In 2017, it paid a $2.2 million fine to settle a Federal Trade Commission lawsuit that accused it of tracking viewers without their consent.

An acquisition by Walmart could help Vizio compete with other budget-friendly TV brands that rely on advertising as a significant source of revenue. Roku, which started selling its own TVs …read more