Subscription-based Redbox Streaming Movie Service Coming Soon

Look out Netflix! Redbox’s President, Mitch Lowe, told analysts yesterday that Redbox is working on a subscription-based streaming movie service that will provide members access to movies via the Internet, across a variety of devices, or through their retail kiosks. This model is a departure from Redbox’s $1 a night DVD movie (and game… at some locations) rental business. Interestingly, Los Angeles Times reports, that Redbox will partner with a third party to help with its online efforts. Some are speculating it might be Amazon. However, we already know that Redbox has been talking with Rovi to provide the backend needed to make it all come together — like they’ve done for CinemaNow, Blockbuster, and others. Personally, I was hoping Redbox would go with $1 streaming rentals when they eventually launch (other on-demand services charge $3.99 and up for new titles). In any case, it will be interesting to see what kind of subscription model the company, known for their value, comes up with.

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Filed in: Content Providers, Industry Buzz, Streaming Media Devices

2 Reactions to “Subscription-based Redbox Streaming Movie Service Coming Soon”

  1. It will come down to price. NetFlix is really competitive with a $7.99 a month streaming subscription. And no advertising, of course.

    It’s hard to imagine Redbox being competitive at $3.99 for rentals. Amazon might be able to get away with that, but they have the long-term relationship with customers that they can leverage.

    If they come with $1 rentals, they’d be really competitive, especially if they hit multiple devices, like the Roku, Boxee, and Apple TV (although that seems unlikely).

    Buddy –

  2. Mr Magic says:

    I would like to think that RedBox would expand its popularity leaving pricing alone and simply offering to stream a movie rental for 24 hours, however the popularity would skyrocket with a subscription price near Netflix prices, what would completely make me switch from Netflix to basically ANY other instant watch service would be if they would offer instant watch TV shows of Old and some of the current shows.