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Paula Rosenblum

Managing Partner
RSR Research

Verizon and Redbox Go Online to Battle Netflix

February 7, 2012

FROM RETAILWIRE:
Up until now, Verizon has distributed television and movie content on a local basis, while Redbox has offered DVDs nationally to consumers through its kiosks. Now the companies have combined in a joint venture that will enable them to stream content online for a monthly subscription fee. What is your take on the joint venture between Verizon and Redbox?      [more...]

MY COMMENTARY:

Netflix seems ripe for the pickins. Its streaming content remains woefully inadequate (it costs me $9 a month and is probably worth about that, maybe less), for reasons I can't comprehend. It has no terrestrial presence. Verizon has a growing delivery vehicle which negates the need for additional applications or boxes.

I don't understand why NCR sold the kiosks at all, but it certainly cleans things up for Redbox. I don't know how big the kiosk future is, but I don't like media, so I'm not a great judge. I prefer to have everything digital.

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