Wal-Mart's new Video Download Service could spell DOOM for DVDs

[mandy]

Wal-Mart said Tuesday it would soon launch a downloadable video service, a move that could hasten the demise of the traditional DVD and help catapult the retailer into the center of the video-on-demand marketplace.

The discount retail giant, which already ranks as the largest seller of DVDs in the world, unveiled plans to launch a download-on-demand test in February 2007. The service's exact launch date was not announced...

The Wal-Mart and BitTorrent announcements indicate that the trend toward using the Internet  as a distribution channel for high-value content is gaining steam. A year ago, few studios or TV networks were willing to make content available on the Web for fear of cannibalizing other media or falling prey to rampant piracy...

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