Andre Yoskowitz
17 Feb 2011 3:25
Redbox, the popular $1-a-night DVD rental company, will start a subscription-based Internet streaming service, one that will directly rival Netflix.
President Mitch Lowe told analysts that the new subscription model will also give users a chance to still rent physical DVDs along with unlimited streaming.
Netflix reported last quarter that they moved to over 20 million subscribers, a huge jump since the start of 2010.
The LATimes speculates that Amazon will be Redbox's streaming partner:
Redbox has previously said it will launch a digital service with a partner but has not identified the partner. Several people familiar with the matter have confirmed that Amazon.com is in talks with studios to acquire content for a Netflix-like subscription movie streaming service set to launch soon, making it a likely candidate to be Redbox's partner.