Wal-Mart Stores Incorporated has cancelled its online video download service, which accounted for about 40% of all DVD sales, less than a year after the site went live and is most likely related to Hewlett Packard Company’s move to discontinue the technology that powered the store. According to the webpage, the service closed down a week ago. Customers who have already purchased movies can continue to watch them but will receive no refunds. In 2005 the company decided to abandon its online DVD rental service and turned it over to Netflix Incorporated. The Internet video business is changing rapidly and Wal-mart may very well re-enter it one day. Wal-Mart will continue offering physical DVDs for sale at its stores and online.
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