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The new video service is up against Netflix, Disney+, Disney’s Hulu, NBCUniversal’s Peacock, and other streaming giants. It will include everything on HBO plus hundreds of additional titles, including the complete runs of popular TV shows, more than 2,000 movies.

NBCUniversal will be trimming ad loads on news programming by two minutes and eyeing a reduction of 15-second ads. The partnership will help companies create a new advertising solution and give gives marketers access to the all of the premium content and advanced advertising capabilities that each brings to market.

NBCUniversal announced a major restructuring of its operations, including the creation of a new television and streaming division. This combined group will see the streamer and NBCU’s channels working in tandem.

The decision, and threats from other large theater chains to do the same, were made after a remark from NBCUniversal's CEO, Jeff Shell, stating NBCUniversal would release “Trolls World Tour” on VOD services on the same day it would appear in theaters. The “Trolls World Tour” made USD 100 million in VOD revenue and USD 347 million globally in box-office revenue during its release in 2016.

The retail giant hopes to prioritize the company's core strength of omnichannel retail. As a part of the agreement, Vudu will continue to offer Walmart’s digital movie and TV store on Walmart’s website and NBCUniversal will merge the operations of Vudu and FandangoNow once the deal is sealed.