Wal-Mart Replaces Kodak Kiosks With HP

Rochester, NY – Eastman Kodak is losing its kiosk business at Wal-Mart. The retail giant has decided to go with Kodak rival Hewlett-Packard instead. Kodak started providing kiosks at Wal-Mart four-years-ago.

Larry Matteson is Executive Professor of Business Administration at the Simon School of Business. He calls the kiosk business "quite important." Matteson assumes Wal-Mart's decision to go with H-P was a money issue and had nothing to do with photo quality.

Matteson assumes Wal-Mart's decision was purely a money issue.

Kodak reported a fourth quarter profit earlier this year and predicted five to n ine percetn growth in digital revenues for this year. Matteson does not believe the loss of kiosks at Wal-Mart will stop its forward momentum.

While home photo-printing is improving and getting cheaper, Matteson believes the photo-kiosk business will be important at least for the next decade.