Although retail giant Wal-Mart purchased Vudu earlier this year, no signs of collaboration were seen in its stores until now. But now the first sign of the collaboration becomes visible as Vudu ties-up for the promotion of  “Toy Story 3”. Under this, either DVD or Blu Ray edition of this Disney movie will be accompanied with a free digital copy available through Vudu. So, that would be a bingo for the customers!

Before this collaboration, Wal-mart bundled both DVD and digital copies of movies earlier in 2006 also. It was for the movie “Superman Returns”, but it  added $2 to $4 extra depending upon the streaming method. But this time it is free as a part of collaboration with Vudu.

This tie-up is going to prove fruitful for both partners. On one side, Wal-Mart will promote and increase the exposure of Vudu and simultaneously reap the benefits of getting into nascent streaming sector.

Besides its collaboration with Wal-Mart, Vudu is also looking to expand its distribution channels that led to its partnership with Boxee. It would be a really good way to replenish the declining list of Vudu subscribers.