Ever since I first wrote about Vudu, a Santa Clara, CA based hardware company that had been in stealth mode for 2 years, I have been wanting to get my hands on their innovative set-top box. The Vudu is a $399 set-top box that lets you browse through a massive library of movies (5,000 at the moment), watch previews and then rent or purchase movies.

Vudu has several competitors such as TiVo using Amazon’s Unbox service and Apple TV, although the latter requires a computer to download the movie. Regardless, the Vudu is an all-in-one box. There is no subscription fee; it is pay as you go with movie rentals priced between $0.99 to $3.99 and purchases ranging from $4.99 to $19.99.
Setup

Vudu unboxing
After hooking up the Vudu with audio, video, Ethernet and power connections, there is a four step guide to finishing the setup and activation. The first step makes sure you can actually see anything on the screen. At first I couldn’t, but then I toggled a switch on the back to 480p mode for my composite TV connection and it worked. The Vudu boot up process takes about a minute or more, but considering the Vudu is essentially a computer I think the wait is plausible. The second step shows you how to use the remote and the Vudu interface, although I wish I could have skipped through this. I’m a fast learner and don’t want to sit through a video showing me how to use a scroll wheel. The third step checks your Internet connection and the final fourth step presents you with an activation code which you must use to make an account on Vudu.com.

Quite possibly the most amazing home theater setup known to man.
The account you make on Vudu’s website ties your Vudu unit with your credit card. You must “charge” your Vudu with a pre-paid amount of money – either $20, $50 or $100 – so it’s not quite pay as you go so much as pay in chunks. I suppose this cuts down on the number of credit card transactions Vudu must process. The amount you select is recurs every time you use up your balance.

There are parental controls to limit the types of movies rented/purchased and watched. Parental controls doubles as roommate controls. I used to fear the day I’d come home from class to see that some mischievous roommates of mine have purchased dozens of movies and run up the bill on my credit card. That’s why I setup the parental controls with a 5 digit passcode, which I set by tapping in a combination of 3 buttons on the Vudu remote.
After your account has been activated online, the Vudu will detect this and complete the setup process. My Vudu unit had an issue at this phase and took over 30 minutes to recognize that my account had been created and activated. I called Vudu and they assured me this was not an issue that regular users would face, although he seemed to think that my Vudu unit was a pre-activated review unit, which it was not as I had to make my own account manually.
Barring my activation issue, setup only takes about 10 minutes.
Tech Specs
The Vudu box weighs in at 4.2lbs and with measurements of 2.4" x 8.9" x 7.3" it is smaller than most DVD players and other set-top boxes. On the outside there are a number of connections to suit most any home theater setup: HDMI, digital optical, digital coax and RCA audio outs with HDMI, component, s-video and composite outputs for video. However, the Vudu needs an Ethernet connection and if you don’t already have an Ethernet-requiring Slingbox or other such device in your home theater setup, you’ll need to find a way to get an Ethernet line that can sustain a 2Mbps or faster Internet connection. (Ethernet alternatives include supplying and using your own Wi-Fi Ethernet bridge or Ethernet over Powerline adapter.)

However, it was the lack of a DVI connection that threw me off the most. I know that HDMI is the way to go for high-end media devices and TVs but I would have loved to hook the Vudu up to my 30-inch Dell LCD. I went so far as to buy an overpriced HDMI to DVI adapter from Best Buy but that didn’t work for some reason – not sure whether the adapter, LCD or Vudu was to blame. Or this could be an HDCP issue to protect movies from aspiring movie pirates and hackers.
There are two USB ports on the Vudu, one on the side and one on the back, for future expansion purposes. Vudu states this will likely be for extra storage with off-the-shelf USB external hard drives and come within the next 6 months. Speaking of expansion, while the Vudu’s hardware is final, the software is continually updated with the help of its Internet connection.

That little antenna sticking out the back is for the Vudu’s RF remote. RF standing for radio frequency and rather than the traditional Infra-Red remotes, the Vudu’s RF remote means you don’t have to point the remote at the unit for it to work. This also means that home theater aficionados can hide the Vudu out of sight and still use it.

Further Investigation
Note: Opening up your Vudu will result in voiding your warranty and possibly bricking it if you are not careful. Always take apart consumer electronics with an electrical engineering friend nearby so he can remind you about things like preventing static discharge.
The Vudu case is sturdy with parts of it resembling cast iron or steel. Combined with the radial fan, the Vudu deals with heat well. This is imperative for a unit that will be functioning 24/7.

Taking a peek inside the Vudu reveals a few more technical aspects of the hardware. The larger IC used is the Broadcom BCM7401, which handles everything from HD decoding to video upscaling. This is the same chip used in the TiVo HD.

The motherboard also has four Nanya NT5DS16M16CS DDR333/400 256MB RAM chips which equates to 1GB of onboard RAM (don’t quote me on that).

For storage Vudu chose to go with the Hitachi CinemaStar series of hard drives. With quiet acoustics and low power requirements, CinemaStar drives are made for DVR and other such set-top box applications. A 7200RPM 250GB Serial-ATA CinemaStar model is used in the Vudu.

Peer2Peer TV Technology
Inside the Vudu there is a 250GB hard drive, which Vudu says can store around 100 hours of movies. Movies are stored in MPEG-4 format and subsequently upscaled to HD (480i, 480p, 720p, 1080i or 1080p based on video connection and settings). While a movie is on your hard drive, i.e. if a movie is during the rental period or has been purchased, Vudu uses your unit to upload bits of the movie to other Vudu units requesting that movie – p2p distribution. But it’s not just movies you have purchased or rented that stay on your hard drive. Less than 10% of the Vudu’s hard drive is used by Vudu for content storage, turning the Vudu into a node on its distributed network. The overly simplified visual below shows what I’m trying to get at.
This is a great strategy from Vudu’s standpoint, especially if they end up having many customers – this p2p technology implementation will make it easy to scale and take some load off of the Vudu servers. As such, short of being unplugged, the Vudu can’t really be turned off. However, as my roommate put it, if they’re using our bandwidth for their purposes they need to pay us. There is a reduced bandwidth mode that might deal with this issue.
Hard Drive Encryption
Did you notice that little smart card in the front of the Vudu in the other pictures? That card is a unique identifier of sorts for movie encryption on the Vudu’s hard drive. If you were thinking about just yanking out the Vudu’s hard drive to snag the movie you just rented, it’s not so easy. You’ll have to find a cryptographer friend or three to help with that. Even then, I don’t think it will be anywhere close to a snatch and grab.

Movie studios are very careful when they sign deals and were ensured that movies are secure on the Vudu, as noted in a New York Times article:
Universal also liked the system’s security. Vudu’s devices use the same encryption technology inside a cable or satellite box, and Hollywood’s valuable film assets never have to cross the PC screens, where they typically become exposed to the predations of hackers.
“The platform is secure from the moment we provide them content to the moment it shows up in the box,†Mr. Lamprecht said.
Interface
The Vudu’s interface coalesces perfectly with the utterly ergonomic remote. I have never owned a remote control that just felt right in my hands. Using the Vudu feels the same way. It’s like the first time I used an iPod (2nd Gen 10GB) – I knew everything there was to know about how to use it in just seconds. To test this theory, I put together an impromptu shindig. I passed around the remote to several friends and asked them to “do whatever” while I watched. After they figured out where the back button was, they all knew how to use it well.
While the remote has 5 buttons and a clickable scroll wheel, 90% of what you need to do is just the scroll wheel and back button. This is similar to the iPod’s navigation wheel, select button and menu button. There is no apparent lag with the scroll wheel and what you see on the screen; it’s all very fluid. Other buttons on the Vudu remote include “More”, which doesn’t have a use yet and was probably just put in there to future-proof the Vudu. There is also the “Vudu” button which is just like the iPhone button that takes you home. Finally, there is the power button and a play/pause button.

Vudu Home screen

The Vudu displaying Nicolas Cage’s filmography.

The UI seen when playing, pausing or scrolling through a movie.

The Vudu showing new releases.

The screen shown after a movie has been rented.
Sorry for the quality of the above pictures; I took pictures off of a CRT.
The interface is clean and fluid as I stated earlier. However, when it comes to exploring movies by genre, the weaknesses of the interface become apparent. You can only see anywhere from 5-7 movies at a time in the left pane depending on what page you’re on. It would be nice if there was a setting to not display movie images in the left pane and only show text. Perhaps that viewing mode would be able to display 10 or more movies at a time.


Vudu attempts to deal with this issue by providing a fairly effective movie filtering and sorting system. First you can sort by genre, but not just one genre – you can tack on as many as you want. My friends and I found this to be quite entertaining. We would randomly choose genres and see what movies were left. Things like Action with Romance with Comedy with Drama or Suspense with Foreign with Crime, et cetera. Furthermore, Vudu lets you filter by MPAA rating, year and filter by alphabet, release date, critic’s rating – surprisingly comprehensive. However, even if you have everything sorted out and you still have to scroll through 80 movies, an alternate viewing format would be nice.
Overall, interface shortcomings are few and far between and the intuitive remote helps allay those issues.
Movie Selection and Service
While Vudu has deals with many movie studios including independent ones, each movie seems to have its own restrictions. Not all movies may be previewed, rented and owned. It’s always a mix of the three. Some movies can only be purchased, and others can’t be previewed, et cetera. Some movies just aren’t offered on the Vudu. I was searching for Antitrust and couldn’t find it.
Vudu adds roughly 5 to 20 movies to the network each week in addition to the 5,000 already offered. After spending 30 minutes trying to narrow down 5,000 movies to one I wanted to watch, I clicked rent. One second later, the transaction was authorized and I could begin instant playback. I have a 6Mbps Internet connection so I never experienced any movie stuttering. Vudu users with slower connections (less than 2Mbps) will have to wait for the movie to be adequately buffered. There’s no nonsense; it just works well. Having that many movies at your fingertips feels great, especially combined with a user experience much greater than that of on-demand HBO and cable boxes.
Movie quality is crisp and vivid but I was only testing it with a composite connection. I’ll have to take it on another whirl if/when I acquire a large 1080p HDTV.
Thoughts
The Vudu’s biggest problem is the movie pricing structure. The pay as you go model is great but who wants to buy a movie for $19.99 on a format that’s nowhere near as versatile as a DVD and considering movies on iTunes have a max price of $9.99? Particularly, I was not enthused with the Vudu’s movie rental stipulations. When you rent a movie you have 30 days to view it but when you start playing the movie you only have 24 hours.
However, you have to consider a few things. I am a college student, so I am not exactly Vudu’s target user:
Our research indicates that our likely first customers will be heavy movie watchers who own HD TV’s and earn high incomes. They have demonstrated a willingness to invest today in tomorrow’s lifestyle.
Pricing aside, the Vudu is a slick box boasting an amiable user experience. The highlight of the Vudu experience is navigating around with the remote control. Upon initially interacting with the Vudu remote I knew this was not any ordinary set-top box. The Vudu makes watching movies effortless – perhaps too much so. I ended up watching 5 movies on the Vudu this weekend. The Vudu would make an excellent addition to anyone’s home theater setup just for the fact that you can plop on the couch with no plans and find something interesting to watch by simply twiddling your finger on a scroll wheel.
Personally, I think the Vudu is wholly flawless with the exception of pricing. There are too many movie restrictions to make the Vudu worthwhile for anyone other casual movie watchers. Paying $19.99 for a proprietary-format movie that can only be played on the Vudu is entirely too much. With DVDs you can take them to friends’ houses, play them on your laptop during flights and all of that. Vudu could lessen the blow by implementing a feature allowing users to export movies to their computer. The movies would still be encrypted and require a special player to keep the movie studios happy. I give the Vudu a 7 out of 10 overall. If the pricing structure was better I would give it a 10/10.

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wow. brilliant review (as usual) stammy. nice product, but i think i’ll stick to my local movie renting place, redbox + free movie codes and etc.
Nice review. I saw it on Tekzilla last week. Seems like a decent device, but I’ll stick to my torrenting =P
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Looks awesome, if only for it’s movie renting purposes. Being able to rent movies instantly from the TV would be great, but I betcha this isn’t coming to Canada anytime soon. :/
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Awesome!! I was really hopping you would do your review on VuDu this weekend. Thanks! I was considering buying one, but i postponed until i could read what you had to say about it.
Great review. I will be getting one.
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Great review, Paul.
Although the Vudu seems to win in the “instant gratification” category, would you choose to use a Vudu box over say, a NetFlix subscription or something similar?
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Nice review! A very promising service and slick box/interface indeed but I definitely agree with you on the “portability” and pricing issues. I’m a HUGE movie buff, but being confined to one location to watch isn’t cool with me at all. Plus, paying $20 for the “one location” option, is way out of the question. I can get a brand new (non HD) DVD for that and usually less if I look hard enough (i.e. Target). Looks like they took some hints from good ‘ol MS on the renting structure (ala XBox 360 movie rentals, but price is way more on Vudu). Besides… In my book, It’s really tough to beat the Netflix/MediaFork combo (did I say that out loud?).
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@Jenn – Vudu rocks so much just for the instant gratification, which is why I’d take it over a Netflix subscription, even with the netflix online watching which is severely limited to only certain movies.
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Now that is a FULL review. Cool device, but looks like another poorly design business model. Nor is the pricing scheme is not in tune with my target market. What happens to all the Vudu movies I buy if the company goes under…? No thank you!
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Excellent review. The Vudu is intriguing, but as I am also a college student I agree that the pricing is a little steep. Then again, I also find iTunes movies priced too high. If I buy movies, I always buy them on DVD. It is the only way to guarantee your movie playing wherever you go, plus you have a tangible product.
Still, the service could appeal to a lot of people who have bigger incomes than I do.
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And the chances of seeing this in Spain are exactly zero :-) Good book though, seems a bit limp to only call that a review!!
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nicely written as usual, super readable, and really comprehensive!
I reckon you’ll see these in hotels. – charge to your room.
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Fantastic review, Paul. You are definitely showing your review talent with this one.
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Nice review. A few things that bug me about this system.
First, I have to pay $400 up front. Do they give you any kind of “movie credits” with that $400?
Second, I know you like the remote, and correct me if I’m wrong but…there’d be no way to use a universal remote with this, right? Since there’s no IR port? (Same issue as with the PS3’s bluetooth remote…I love that I don’t have to point it at the PS3, but hate that I can’t get even basic functions on a universal remote.
Third, P2P…I’m 100% with your roomate on this. I wonder how much bandwidth the P2P functions use up, even when you’re not watching a movie?
Fourth, the one serious flaw in your review (and I understand its out of your control; I don’t mean to come down on you) is, what’s the movie quality like on a HD screen? If they say their target market as HD TV owners.
I assume these are standard def movies?
I dunno. I guess I was in their target demo until last year (damn layoffs), but I have zero interest in something like this. Get rid of the P2P, offer HD content, and offer a sane pricing model, then I might be interested. I can’t see buying a movie in this format under any circumstances, but maybe renting…
What about the bonus content that you’d get if you popped over to Best Buy to spend your $20 for one of these movies? Do they offer any of that?
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Follow up:
I knew I’d read about this somewhere; I even posted about it on a forum.
According to the NYTimes (http://www.nytimes.com/2007/09/06/technology/circuits/06pogue.html) the system is capable of HD content but they’re still negotiating the rights. They can enable HD via a firmware update, presumably.
(Sorry for the double post!)
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Very good review, Paul. I’m not a Vudu employee but have been involved with the product for about six months now. Your experience is good to see. I will say that using HDMI and getting the full 720p or 1080i experience is terrific. As for using the HDMI to DVI adapter – it should work. I know people who are using them and not having any issues. If you would like to learn more, please inquire at http://forum.vudu.com.
I encourage anyone who has question, comments, feature requests, etc. to post them in the public forums. Vudu is a small company and is VERY receptive to user requests for additional features, etc.
In terms of the network usage for upstream connections, the Vudu uses typically around 100 to 200 kbps at most. It’s very minimal. There is what we call a “Nice to Network” feature which cuts the speed down on the uplink, but it also cuts the download speed in half which will require you to buffer movies (ie: no instant playback).
In terms of the pricing structure, rental terms, portability, etc. – it’s all set by the studios. Vudu has heard plenty from us about the need for portability, the need for longer rental periods, etc. But they can only provide what the studios allow them to. As the product takes off and the model becomes successful, it’s possible that the studios will change the terms and maybe, just maybe things will loosen up. We’ll have to see. Bottom line is that they don’t want to provide content to a product that will be easily pirated.
I will say that this thing will change your viewing habits and the way you watch movies.
Enjoy!
Jon
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As for HD Content – No firmware update is required. What is required is licenses from the studios to provide it. That is being worked on AFAIK.
Jon
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So this thing doesn’t work with a Universal Remote? You have to be kidding me. I can’t believe they didn’t include an IR receiver so you can use your universal remote to control it. I guess their target market is people who own HDTV’s and have high incomes, but don’t use universal remotes because the prefer a giant remote collection on their coffee table. Maybe that mysterious “I/O Port” on the back has IR add-on capability. If not, there is no way I’d even consider purchasing a Vudu.
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The RF Only remote has been my biggest hang-up but you get used to it. Trust me – Vudu is well aware of the feelings that people have out there with regard to integration with other remotes. The only thing I can say is that I believe this problem will be addressed before too long. Right now the focus has been to get the box working and working well and shipping. The I/O port is for factory test. There are 2 USB ports though and IMHO, it would be a simply software change to allow the addition of an IR receiver dongle.
Don’t let your emotions regarding the remote hang you up though. It works very well and while annoying, there is so much more positive about this product that makes you forget about the remote issue.
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Another fantastic review, Paul!
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I agree that the pricing structure is a huge turn-off. With Netflix, even though I’m waiting a day to get my movies, I can at least rent enough to get my per-rental price down to less than a dollar a disc (if I’m trying hard enough and ignoring my school work). Have you used the Xbox Live movie rental service? I’m wondering how it compares to that in terms of speed, price, and selection.
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The amount of movies offered blows away the Xbox live stuff, AFAIK. And don’t you need a subscription for that? Also, you ask how it compares in terms of the speed? Well, the speed of the Vudu is INSTANT. Truly instant.
And as for the pricing structure – it’s very comparable with what you would pay for movies on PayPerView or OnDemand from your cable company…
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Wow. Thats a superb review. It just goes on and on. I’ve heard alot about the Vudu. And this has filled me in. Keep it up
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Sorry a little off topic, but that is one slick-looking remote. I still think DVDs are still the best option at the moment, the only downside is you can’t watch a movie at midnight when you get the urge. Most are very affordable (especially older classics), you can keep the DVD and watch it again months later, pass it on to friends or sell it off on eBay to recoup some cash.
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Great looking product, but I’m not sure how it will fit my lifestyle. I don’t watch a lot of television, and what I do watch is culled by the Tivo, which I probably don’t want to live without. The concept is a winner, though, for people who watch a lot of movies.
Funny thing, though, is with the lower costs lately of buying a retail DVD, more people are choosing ownership over renting. Most people I know prefer to buy the movie rather than renting or downloading through Unboxed or a service like this one.
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“I went so far as to buy an overpriced HDMI to DVI adapter from Best Buy”
What? You fell for the oldest trick in the book. Never (ever ever ever) buy cables from Best Buy (or any other store). I saw a 4 foot HDMI to DVI cable selling at Best Buy for $70 and have seen the price go all the way up to $120. I buy all my cables from Monoprice.com, they have a 6′ cable of the same type for $4.24. Don’t get ripped off for the high priced digital cables again.
@Pat – normally I would be right there with you but I needed that cable the _same_ day. Does monoprice do teleportation shipping?
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VUDU is Pointless & Disappointing
The reviews here are written by VUDU forum moderators so I would take their opinions with a grain of salt…
VUDU has some really serious content issues – of the 5,000 advertised titles there’s little to rent. Their movie library if filled with titles one would find on a Hong Kong street corner or flea market. Laughable, amateurish, appalling movies that look like they’re been shot in someone’s basement. Much of the catalog is purchase only. New releases are not available to rent for 3-4 weeks, if ever. Quite a few older titles that have been staples at Blockbuster, or gathering dust at a the local supermarket, are purchase only.
VUDU moderators are blocking forum posts critical of the product.
“Vudu relies on a peer-to-peer network system for faster downloading. So, essentially, this company is using your bandwidth to help it save money it would have otherwise spent on its own servers and bandwidth.” – Walt Mossberg, WSJ
“Plenty of the movies are pure filler. They range from no-name horror cheapies (“San Franpsycho†or “Night Fangs,†anyone?) to superniche flicks like “The History of Texas Longhorns Football†and “Yoga for Depression and Gastro-Intestinal Disorders.â€
Another reason: Vudu’s catalog is a victim of what Hollywood calls distribution windows. After a movie leaves theaters, it becomes available through other channels in a strict order: (1) hotels and airlines; (2) DVD; (3) pay-per-view television; (4) movie channels like HBO and Starz; (5) TV and everywhere else.” – David Pogue, NYTimes
“The average consumer, as long as he or she doesn’t have true control over downloads thanks to technology such as digital rights management, is going to have a hard time justifying an expensive set-top box when it has neither the channel-surfing capabilities of a TiVo digital video recorder nor the low to nonexistent price of a DVR provided by a cable television company.” – ZDNet
“That doesn’t count for much when you can’t get “the right movie, right now”. The studios don’t want to rent new releases, because they make more off sales… VUDU sucks and there is no reason to believe they will get better.” – Keith Ohlfs, User Experience Architect, VUDU Inc. 11/24/07
My extended review: http://theillustratedconservative.blogspot.com/2007/11/vudu-pointless-disappointing.html
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CJohn17’s comments need to be rebutted:
CJohn17 was a Vudu beta tester who violated his NDA with Vudu by publicly discussing elements of the Vudu beta program in a public forum. He was asked repeatedly to stop and instead make his comments in the private forum for beta users. He refused. He continued to post inflammatory threads after being asked repeatedly to stop. As such, his access to the forums was blocked temporarily as a warning. After further consideration of his actions, the Vudu staff decided that he should no longer be a member of the beta program. Simultaneously, CJohn17 decided that he would quit the program.
He is now on a smear campaign regarding Vudu and he sees it as his crusade for some reason.
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I liked this review very much. I just ordered one.
We recently canceled our DirecTV subscription. Nothing wrong with DirecTV, but our bill was about $80/month, and we wanted to cut back on the amount of TV our family was watching. As a result, though, we rent and buy more movies. Being able to instantly rent movies, without worrying about returns, is a great idea.
Vudu is taking up a big challenge in building a business based on their hopes that Hollywood will license to them. I hope they succeed, because it’s a better way to rent movies.
Nanya NT5DS16M16CS is 256 mega bit chip, not mega byte, thus it gives a total of 128MB RAM on Vudu box.
So, you plan on changing your tune since the netflix/roku box is out? It’s pretty amazing as long as you don’t demand new releases. 10,000 movies/tv shows and a $99 one time box fee. It’s pretty amazing. I cancelled my $100/month satellite plan for it and haven’t looked back for a millisecond.
VUDU just laid off all of their territory national channel reps