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Redbox scores in first round for the fight for $1 day-and-date rentals

by Ben Drawbaugh posted Aug 18th 2009 at 8:47AM

Redbox
The first preliminary verdict came down against Universal yesterday when a judge refused to dismiss anti-trust charges. Redbox filed two other charges that didn't experience the same fate though, but we'd bet that Redbox was just hoping that at least one would stick. In the suit that did, the claim is that by instructing distributors to refuse to sell Universal titles to Redbox for the first 45 days after release, that Universal is using its influence to prevent Redbox from competing in the movie rental busines. This is far from a verdict though, and with Redbox buying Universal titles at retail, and the fact that this thing has already been going on for some time now, we'd be surprised if any of this was resolved any time soon.

Fox and Warner want 30 day kiosk rental windows, maybe Netflix too

by Ben Drawbaugh posted Aug 14th 2009 at 12:51PM

Redbox Kiosk
In this economy everyone is looking for ways to decrease costs and increase income, but evidently that might not be good news for those of us who prefer to rent movies. While Redbox has already filed suit against Universal and now Fox in response to them imposing a 30 day delay, starting in October, Warner will simply "change its terms". The interesting twist here is that the new 28 day delay from Warner also applies to "mail-order subscription services" -- but there is a new day-and-date revenue sharing option. This should be fun to watch play out, but we'd be shocked if Netflix and the studios didn't work something out, and hope that Netflix won't also have to involve the law in order to protect its first-sale doctrine rights.


Read - Redbox files suit against Fox
Read - Warner offer kiosks titles 28 day delay

Subscription services like Netflix Watch Instantly generates 20x the revenue of pay-per-downloads

by Ben Drawbaugh posted Aug 6th 2009 at 4:22PM

Netflix Streaming
Now this is one stat from an analyst that we wouldn't refute, but we do wonder how Versaly Entertainment aquired this information. How exactly does one calculate streaming revenue from a subscription service like Netflix anyways? To be fair we are only assuming that Netflix is involved here as it wasn't specifically mentioned, but we really can't think of any other subscription based video streaming service. Our best guess is that the revenue in question is based on what the studios are receiving and not for the service itself. Regardless, it isn't hard to figure out why no one is paying $4-$5 for the 24 hour rights to watch a movie on any of the pay-per-download services out there. Especially when you can rent a movie from just about anywhere via Redbox for $1.

Read -- Subscription downloads outperform pay-view.
Read -- Redbox undermining DVD value

Redbox scores deal with Disney, Lions Gate and Sony

by Ben Drawbaugh posted Jul 21st 2009 at 10:08AM

Redbox Rental
At the same time as Universal is waiting to hear how the Redbox lawsuit turns out, Disney, Lions Gate and Sony have signed deals that help Redbox to get a better deal on movies. The studios have faced that fact that $1 kiosk rentals are here to stay and figure they might as well get something out of the deal. Unlike the deals with the likes of Blockbuster that share rental revenues with the studios, Redbox seems to be simply agreeing to lesser terms like not selling used DVDs at discounted prices. No word on when or if the rest of the studios will get with the program and accept that rental kiosks are here to stay. But it is obvious that $1 seem to be just the right price for most consumers.

Read -- Sony Pictures, Redbox Sign Movie Agreement (WSJ sub required)
Read - Studios Rethink Redbox (WSJ sub required)

At $1 a day Redbox is perfect for consumers, not so much for Hollywood

by Ben Drawbaugh posted Apr 3rd 2009 at 12:12PM


Not sure who would've guessed that Redbox Kiosk rentals would be this successful, but evidently most don't mind heading out of the house to rent a movie if the price is right. But it seems that as popular as the disc vending machines are with consumers, Hollywood isn't too keen on the idea. Evidently it is believed that the $1 rental fee is more effective at motivating consumers to rent instead of buy when compared with other alternatives like Netflix and Blockbuster. The interesting thing here to us is that at least one studio (Universal) has attempted to delay selling titles to the company in an attempt to help DVD sales, but as you might expect, Redbox responded with a lawsuit -- which is still pending. Seems to us that Redbox is yet another great example of how packaged media isn't dead, because if for no other reason it is useful because it helps prevent the draconian control of content that Hollywood would obviously love to have.

Ask Engadget HD: Netflix or Blockbuster -- best by-mail rental service?

by Darren Murph posted Feb 18th 2009 at 2:50PM Featured Story


Ah, the question we've been waiting for has finally arrived. With the economy leading more and more individuals to search for entertainment at home, many are wondering which movie rental service to sink their hard-earned dollars into. Take it away, Brandon:

"I'm looking to subscribe to either Netflix or Blockbuster for movie rentals, but I wanted some input from current users first. Which service is superior? Has anyone used both? I'm talking about the by-mail option, there aren't enough new releases available online for me to worry about. A little guidance, please?"

We know, it'll be difficult to quell your fanboyism here, but let's try to stick with facts and figures, okay? Has Blockbuster and / or Netflix treated you right / wrong? Let's hear it!

Got a burning question that you'd love to toss out for Engadget HD (or its readers) to take a look at? Tired of Google's blank stares when you ask for real-world experiences? Hit us up at ask at engadgethd dawt com and keep an eye on this space -- your inquiry could be next.

Coinstar buys out Redbox, will test higher Blu-ray rental prices

by Darren Murph posted Feb 18th 2009 at 4:10AM


Redbox, the company made famous by its red movie rental kiosks, has been completely bought out by its majority owner: Coinstar. The announcement was made during the outfit's Q4 earnings call, and it's expected that the buyout was made in order for Coinstar to wallow alone in the windfall profits that are expected over the next few years. Speaking of profits, we're also being told that Redbox will start testing higher rental prices for BDs, much like Netflix has done, but obviously on a per-rental basis. There's been no word yet on just how high they'll push the Blu-ray rates above the standard $1, but you know you'll just suck it up and pay it. Not like you're reverting to DVD now, right?

[Via ZatzNotFunny]

Read - Buyout
Read - Increase in BD prices

Redbox CEO talks up DVD rental business, streaming competitors

by Darren Murph posted Jan 3rd 2009 at 7:20PM

Redbox -- the outfit that makes its ends by offering consumers $1 DVD / Blu-ray rentals in kiosk stations positioned at grocery stores, Walmarts and other retail outlets -- has let its CEO out of the corner office long enough to speak with VideoBusiness. With B&M rental outlets feeling the pain from by-mail / online alternatives, VB questioned whether Redbox's business model was viable. Gregg Kaplan noted that the model was indeed viable and profitable, harping on the fact that many families are redirecting out-of-home entertainment dollars to at-home entertainment. He's also publicly confident that the business will continue growing "at a brisk pace," and given that its market share currently sits at just 5% to 10%, it definitely has the room to grow. We have to say, Redbox has it pretty good. While many are too lazy to make a trip to the video store, it's actually convenient to grab a flick while you're out grabbing produce; hit the read link for the full interview.

Are alternative renting methods killing mom 'n pop movie stores?

by Darren Murph posted Jan 2nd 2009 at 7:03PM

We've already polled the audience this year to see if you all still visited the tried-and-true rental store on any sort of regular basis, and most everyone made clear that the act of driving out to rent a movie was simply old hat. A new writeup over at the Press of Atlantic City takes a look at how close these establishments are to caving to alternate forms of renting. These days, consumers have a copious amount of options: VOD via their pay-TV provider, Netflix (by mail and online streaming), Hulu, VUDU and tons more internet-based alternatives. It doesn't take long to realize that driving out to get a movie isn't required anymore. Interestingly enough, not everyone expects the mom 'n pop rental shops to close up in the coming years, with an increasingly aging population still sticking to their roots and doing things the ways they always have. What say you? How long does the B&M rental outlet model have before it's overtaken by newer methods?

It's official: Redbox welcomes Blu-ray with open arms

by Darren Murph posted Nov 24th 2008 at 5:26PM


They always said a picture was worth a few hundred words, and that's about right with the image above. After toying with the idea for a tick, it seems that Redbox has decided to go Blu. Starting now in select movie rental kiosks, users can rent a Blu-ray Disc for just $1 per night, but you'll have to be lucky enough to be near one that actually serves up BDs. Have a look at your local machine(s) and see if you're one of the fortunate ones.

[Via VideoBusiness]

Red Box makes space for Blu-ray on its website

by Darren Murph posted Nov 16th 2008 at 1:30PM


Despite the obvious color bias in the company's name, Red Box is giving Blu-ray a fighting chance. After hearing that BDs were popping up in rental kiosks around the Northwest, it's now looking mighty official that Blu-ray Discs will be headed to its rental boxes around the country. As of now, the firm has made space for a dedicated Blu-ray section on its website, though it's currently empty and waiting for occupants. Impulse renting of BDs? Now there's something the BDA won't mind hearing.

[Thanks, Michael]

DVDPlay bucks the trend, actually drops prices of movie rentals

by Darren Murph posted Oct 6th 2008 at 2:09PM


Good news, DVDPlay addicts. That little movie kiosk that you can't seem to ever avoid as you exit your local food mart is about to become less of a drain on your wallet. Reportedly, the company has decided to lower its per-movie rental fee from $1.49 to $1.00, with president Charlie Piper stating that in "an economy of rising prices, our customers are looking for value for their entertainment dollars." The price change went into effect on October 1st, and it seems that Blu-ray rentals will also be ratcheted down to a buck. Not bad, if we should say so ourselves.

[Image courtesy of SelfServiceWorld]

Blu-ray Discs popping up in Red Box rental kiosks

by Darren Murph posted Sep 13th 2008 at 2:35PM


DVDPlay already announced its intentions to start stuffing Blu-ray Discs into its movie rental kiosks earlier this year, and we've been waiting ever since to hear a similar announcement from rival Red Box. Today, we're still waiting for said announcement, but we've received a report from the wonderfully named Aloha, Oregon that at least one Red Box movie rental kiosk has a Coming Soon flyer for Speed Racer on BD. When our tipster contacted Red Box concerning the discovery, the representative did affirm that if Blu-ray was shown, Blu-ray was on the way, though we aren't sure if they'll cost more than the $1 DVD rentals. Keep an eye out at your local kiosk and let us know if you see the same.

[Image courtesy of CashCrater, thanks Mike]

Blockbuster tests movie download service, DVD rental kiosks

by Darren Murph posted Aug 5th 2008 at 10:17PM


As Blockbuster flounders around in an attempt to determine what it really wants to be, we're seeing that it's finally taking advantage of that whole Movielink purchase from last year. A new download section on the company's website has gone live, encouraging XP / Vista users running Internet Explorer (feel alienated yet?) to simply pick a flick, download and watch. In related news, the rental outfit has announced an expanded partnership with NCR that will see 50 DVD rental kiosks deployed in a pilot test, which is separate from the download-only kiosks which are being tested in Dallas, Texas. Anyone tried out the new download service? Do you prefer it more / less than Netflix's Watch Now?

[Thanks to everyone who sent this in]

Read - Blockbuster download service
Read - Blockbuster DVD kiosks




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