H.B.
I'm sure the babies/kids end up memorizing the words if they watch it enough, but in my opinion it's not the best thing to do with a baby/toddler.... to plunk them in front of a TV so they can learn some words a little earlier than the neighbor's kid. There have been plenty of studies stating that early exposure to TV is NOT recommended while babies/kids brains are still growing and the connections are being developed as it can cause problems. I think it would be more parent-friendly to use books or cards and spend the time directly with your baby (no tv) if you want them to start to recognize words as a baby (and cheaper). This would be healthier all around, both for their brain and for your bonding/parenting time. I think even the AMerican Academy of Pediatrics says to limit television exposure until age 2...probably for a reason.
Why is there a craze with having babies learn words anyway? It's disturbing to be that the late night TV infomercial is promoting this as if it's the latest trick to do with your own offspring. It lures people in and somehow convinces them that this is a good thing to do and somehow makes their child better. ACK! Just read, spend time and explore life together... With that $200 buy your family some books and some memberships into Great Explorations Childrens Museum (which also gets you into MOSI) and the zoo... there is FAR more learning and family fun to be gained from this as compared to hours sitting in front of an electronic box....