Did you see us in the big game tonight???? We are excited about our partnership with VIZIO and certainly delighted to be in their first Super Bowl commercial – check it out, along with an online demo of VUDU on VIZIO here. Sure, the VUDU Logo is visible twice for a few seconds, but hey… over 100 million people were watching!
VIZIO is one of the most aggressive entrants in the Internet enabled TV segment. Their new TV’s are just great, truly optimized for Internet use with advanced remote (yes there is a pull out keyboard), built-in wifi on all models, and some of the slickest software we have seen around. And as usual expect great value from VIZIO’s consumer-friendly pricing.
VIZIO is an amazing entrepreneurial success story. Started in Irvine, CA in 2002 with 3 employees and $600K, eight years later, it has become a multi-billion dollar business that commands over 20% of the US TV market.
How does a startup enter a mature market dominated by industry giants and become the market share leader in just eight years? The answer is business model and distribution innovation.
VIZIO shook the market by disaggregating the TV business model, shifting from the vertically integrated model followed by industry giants to a PC style outsourced model where the company focuses its resources on product design and marketing leaving manufacturing to outside partners. The result has been a nimble organization, able to churn out new TV models faster and at lower cost than was possible with the traditional vertically integrated model.
VIZIO has also driven significant innovation in distribution, with a focus on mass market channels like Walmart and Costco. In 2002 this was an iconoclastic idea because these super efficient channels were not yet “players” in the consumer electronics market.
The strategy took the industry by storm and from its humble beginnings in 2002 VIZIO is now itself a consumer electronics giant. We are proud to be delivering the VUDU experience on Vizio’s new Internet-connected HDTVs.