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California-based value TV maker Vizio will soon be part of the $650 billion Walmart empire and become the mega-retailer’s official TV brand, once a $2.3 billion acquisition deal announced last week is finalized.

But why would Walmart want to get into the cut-throat TV business?

Turns out, it’s not as much about selling cheap, low-margin TVs as it is about an opportunity to grow advertising revenue in today’s fast-moving world of connected TVs. The press release announcing the deal was very clear about the appeal of owning Vizio:

“The acquisition of Vizio and its SmartCast Operating System (OS) would enable Walmart to connect with and serve its customers in new ways including innovative television and in-home entertainment and media experiences. It would also create new opportunities to help advertisers connect with customers, empowering brands with differentiated and compelling opportunities to engage at scale and to realize greater impact from their advertising spend with Walmart.”

Vizio maintains more than 18 million active SmartCast accounts and has built a profitable business around its smart TV streaming platform, which puts some 260 WatchFree+ channels of free ad-supported TV programming at the fingertips of Vizio TV owners. More to the point for Walmart: Advertising now accounts for a majority of Vizio’s profit as the company’s TV platform has amassed “over 500 direct advertiser relationships, including many of the Fortune 500.”

Another big driver behind the acquisition is the synergy between Vizio’s TV platform and the potential it has to accelerate Walmart’s growing U.S. media business, Walmart Connect. As Walmart put it, “The business offers Walmart suppliers and sellers attractive opportunities to reach their desired customers no matter where, how, and when they shop.”

The acquisition has been approved by the boards of both companies but the transaction is subject to regulatory clearance and conditions specified in the agreement. Vizio also has the right to accept a “superior offer” through early April.

If and when the deal closes, Vizio’s common stock will no longer be publicly listed.

Walmart currently sells lower-priced TVs from many brands, including Samsung, TCL, LG , Sony, and Hisense. A quick check on walmart.com revealed the following breakdown of available TV models: Samsung (>901), Sony (292), LG (228), Vizio (123), TCL (77), and Hisense (67).

How will Walmart’s TV brand mix change? Will other retailers still sell Vizio TVs? We’ll have to wait until the deal is official before getting answers to those big questions.