Vudu, a media technology company owned by Wal-Mart Stores Inc. (WMT), announced today, March 23, that it has launched its first mobile service, which allows for DVD and Blu-ray movies to be converted into digital libraries using a smartphone. (See also: Wal-Mart Launches Tech Incubator, Promises More Acquisitions.)

Through the offering, called Mobile Disc-to-Digital, users can scan the bar code on their DVD and Blu-ray discs, via the Vudu app, to add the movies to their digital library stored in the cloud. The movies then become available to be viewed on the Vudu app and Vudu-enabled devices — for instance, televisions, gaming consoles, Blu-ray disc players and streaming players. The Mobile Disc-to-Digital offering is available for roughly 8,000 movies from Lionsgate, Paramount Home Media Distribution, Sony Pictures Home Entertainment, Twentieth Century Fox Home Entertainment, Universal Pictures Home Entertainment and Warner Bros. The media technology company said it would add more titles in coming months.

Users who would like to convert a DVD to SD or a Blu-ray to HDX will pay $2 for each title. It’s also possible to upgrade a DVD to HDX for $5.

Wal-Mart acquired Vudu for an undisclosed amount in 2010. In October 2016, the retailer introduced “Vudu Movies on Us,” a program that offered customers thousands of movies and TV shows to watch without any charge. The launch of the Mobile Disc-to-Digital app is the latest move from Wal-Mart to close the gap between itself and Amazon.com Inc. (AMZN) in the digital space. Amazon already has a Prime streaming service, which the e-commerce giant has been expanding lately.

One of Wal-Mart’s four key objectives is to change the way it works to become a “more digital enterprise.” It recently launched a tech incubator, dubbed Store No. 8, to develop innovative retail technologies to support its target of breaking the divide between physical and online retailing. In late February, department announced new capabilities in the Wal-Mart app that lets its pharmacy and money services customers receive the services they need more conveniently and faster.

Wal-Mart said its U.S. e-commerce sales increased by 29 percent in Q4 2016.

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