NEW YORK (CNN/Money) -
Wal-Mart Stores Inc., the world's largest retailer, plans to follow the lead of other big electronics sellers and exit the VHS business by early 2006, according to a report Sunday.
VHS tapes will still be available through the 2005 holiday season, but will disappear from Wal-Mart (Research) shelves sometime soon after February, said the Hollywood Reporter, citing industry sources familiar with the matter.
Wal-Mart representatives could not immediately be reached for comment.
The move comes after an announcement from Target (Research) that it will phase out VHS sales by September. Best Buy (Research) and Circuit City (Research) no longer sell VHS tapes, according to the report.
The article said Wal-Mart's plans are another nail in the coffin for VHS tapes as stores seek to free up space for popular DVDs.
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