Vudu Debunks Rumors of Demise
Wait, wait, we’re still alive and kicking!!
From the Mouths of Vudu Resellers & Insiders
Vudu dealers, reps, insiders, and others who claim to be "in the know" have plenty to say about the company. They just don't want to be identified.
Some of their comments and speculations have been called "completely wrong" by Vudu.
The Good
- The dealers who do have it really like it and are selling it, at least in my territory.
- Dealers are warming up and we expect to have a strong CEDIA show with Vudu.
- Vudu has not gone anywhere. There was a thinning out today most likely due to pleasing investors but they are in no way shape or form going out. Vudu has some very sharp people working for them and unfortunately one of those people left today as a part of the thinning. He will be missed.
- Adult programming has been a big hit with some of my dealers.
- Great product, decent picture, and you can almost control it pretty good.
The Bad
- It’s been slow to take off.
- The biggest weak point is the lack of purchasable hi-def content. If you sell a box that holds a lot of 1080p movies, people want to collect them. They don’t want to collect them in 480p. They probably already own the DVD version of the movie. (Vudu says it's working on this.)
- I got a call that all of the inside people were fired and tech support is only done via email now, with no phone support.
- I heard but have not verified that includes approximately 32 of their 37 employees including technical support, marketing and sales.
- Dealers bring [on the Vudu line] so there are tons of Vudu dealers but sell-through does not exist.
- Was bummed to see Jez and Patrick and everyone else I know get kicked to the curb.
- My 2 cents is they are either going to close or sell to a larger company.
- Every movie studio currently is upset with them because they have not sold even a fraction of what they planned to sell!
- The biggest problem has been the sell-through.
The Other
- [T]hat sucks if they go under, we just signed on about a month ago, but have yet to sell one. Apple TV doesn't have the control features, but the music and photos make it. Plus Media Center Extenders are easier now and the PPV features have promise to improve and offer a more Vudu ATV "like" experience.
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17 Comments (displayed in order by date/time)
An important clarification: Casey Benjamin, named by Mark Donnigan in his attempt to reassure dealers, was one of the employees laid off Wednesday August 19th by VUDU.
Blake, I sure hope you’re wrong because that would mean that two top vudu execs flat-out lied to me (and the world). I have to give them the benefit of the doubt.
Where did you hear this about Casey?
thanks
Casey’s linkedin profile refers to Vudu in the past tense.
Senior Customer Care Rep.VUDU inc.
(Consumer Electronics industry)
April 2008 — August 2008 (5 months)
Provided technical support to our CEDIA channel partners; focusing on AV, networking and home automation control systems.
I’ll follow up on Monday, but if anyone else knows anything, please chime in.
Sorry for the confusion Blake and everyone. Through a simple misunderstanding, I did enjoy a 1 day vacation but I am still with VUDU providing dealer support. I was in the office on Friday and will be there going forward. As you can imagine, it’s been a hectic week, we all appreciate your patience and support. If anyone needs assistance I can be reached at 1-408-492-1010 ext 2054 or email .(JavaScript must be enabled to view this email address)
Casey, thanks for the comment. Hope you enjoyed your day off.
Indeed, Casey has updated his Linkedin profile post-Vudu-vacation:
Senior Customer Care Rep. VUDU inc.
(Consumer Electronics industry)
April 2008 — Present (5 months)
Providing technical support to our CEDIA channel partners; focusing on AV, networking and home automation control systems.
VUDU is doomed, this has no long term place. Why buy a specialized box when you can get most of this on a PC with netflix. More layoffs to come when they bolt the door.
Julie, sadly, you were lied to. The executive staff clearly decided to hire Casey back after Mark Donnigan led you astray to appease the CEDIA channel. As a former Vudu employee as of last Wednesday (the day of the 25% RIF), and one who is currently holding in hand a copy of the RIF list (those employees laid off that day), I can assure you that Casey was indeed “eliminated,” the unfortunate phrasing on the RIF sheet. He even held a gathering at his home for those of us stunned and recuperating from their lay offs two nights later.
Blake, sorry about your own situation.
Yes, it certainly appears that Casey was in fact dismissed, er, given a surprise one-day vacation.
You understand, though, that I couldn’t flat-out accuse Mark and Tony of lying with the little information I had at the time.
Neither of these Vudu officials said Casey HADN’T been dismissed, but it would have been a whole lot prettier if they’d simply said, “we underestimated the value of our custom support team, decided to bring Casey back….”
Here’s what Tony said on Friday:
“I have reinforced our CEDIA customer support with Casey Benjamin who is an Olympic class CEDIA specialist previously with Kaleidescape”
Casey says it was only a “misunderstanding.” Apparently Vudu misunderstood the fallout from dealers?
(Drew…I do disagree with you, and think there is absolutely a market for specialized IPTV boxes)
Julie, thanks for the follow up. At the end of the day, Vudu has a great product and many talented, decent people who remain. For those reasons, we all hope the company succeeds.
A point of clarification, though it looks like things have been pretty much straightened out: Casey was caught up in the reorganization, but is still with us and in fact has taken on an even more prominent role in supporting the Custom Installation channel. We at VUDU are still hard at work and are excited about the features and products we’ll be introducing in the coming weeks and months.
And Blake, whoever you are, it was a pleasure working with you.
Patrick Ellis
Sr Product Manager, VUDU
I truly hope VUDU comes out of this alive. It’s a unique product and a completely viable concept. I only wish that they could have adopted a business model from the get go that is more like Kaleidescape and been more in line with custom dealers instead of big box retailers. Well, it’s never too late, I suppose.
What’s that old saying about being a Big fish in a small pond is better than a small fish in the sea? CI is the small pond, VUDU!
Louise Owenby
Louise Y. Owenby Tech Systems Design
CEDIA Certified Systems Designer
Louise, it would be impossible for Vudu to adopt a primarily custom-centric business model. In order to do business with the studios, you need to garner a HUGE customer base, which can only be provided through mass markets.
The custom channel is a mere beneficiary of Vudu’s mass-market aspirations.
Companies like Kaleidescape are selling boxes, not content, so they can afford to do a pure high-end channel play.
Louise,
To expand on what Julie said: While we will be targeting both the mass-market retail and custom channel, we do intend to continue to develop products and features appropriate to the needs of each channel.
Patrick Ellis
Sr Product Manager, VUDU



I don’t understand the appeal of download services like Vudu or Xbox Live. Vudu movies (last I checked) are $3-$5 each and are subject to license restrictions. Live downloads run about the same.
We have ‘Redbox’ here where all their movies are $1. That, combined with a Netflix 3-at-a-time account and you are out the door for far less than what any download service would cost you. And you don’t have to worry about network outages, network traffic delays, or streaming/license errors.
I am going to talk to Vudu at Expo and try and understand their appeal because I sure as heck don’t see it.