Redbox Instant by Verizon to Challenge Netflix and Amazon Streaming

  • Coinstar’s Redbox and Verizon Communications plan to launch their Netflix competitor, Redbox Instant by Verizon, in time for the Christmas holiday season.
  • The new service aims to take on Netflix and Amazon with a monthly subscription plan, the option to digitally rent or purchase movies or get them from any Redbox kiosk.
  • Movie fans will be able to stream the content on multiple connected devices, as the joint venture (65 percent owned by Verizon) plans to launch mobile apps for iOS, Android and other mobile operating systems.
  • Redbox and Verizon say they will pay content providers based on number of subscribers, rather than Netflix’s model of paying a fixed amount for streaming rights over specific time periods.
  • “The U.S. market for subscription streaming rose fivefold to $1.1 billion in the first half of 2012 from a year earlier, according to data from the Hollywood studio-backed Digital Entertainment Group,” reports Bloomberg.

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