Whether you consider Android a deliverer of differentiation or a fiend of fragmentation, you could find much evidence in the diverse ways that two leading bookstore rivals have not only expanded the operating system’s ecosystem, but used it as a vehicle for digital retailing.
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This week brought news that Walmart has purchased Vudu, a one-time on-demand video device company that transformed its business to servicing connected TVs and Blu-ray players. As the largest seller of packaged home video in the country and one of the largest sellers of consumer electronics, Walmart clearly has an interest in maintaining its position as more video is consumed digitally, but also in establishing ties to the televisions and Blu-ray players that are featuring the Vudu service.
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To butcher the universal application of an old cliché regarding books and their covers, don’t judge an electronic book market’s profitability by its hardware. The industry has been obsessed with guessing the number of Kindles Amazon has sold, but that doesn’t tell the whole story of the device’s success. Since the Kindle is a $300 vending machine for Amazon, it can be a sustainable venture for the e-tailer even if it never cracks the mass market or achieves market share dominance.
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