by Christopher Freeburn | December 12, 2012 1:10 pm
A new video streaming service from DVD rental kiosk maker Redbox will be priced to compete directly with Netflix (NASDAQ:NFLX).
Redbox Instant by Verizon, a partnership between Verizon (NYSE:VZ) and Redbox parent company Coinstar (NASDAQ:CSTR) will beging beta-testing this month. The service will be priced at $8 a month, matching Netflix’s monthly streaming-only option, Forbes notes.
Shares of Coinstar surged more than 4% in Wednesday trading, while Verizon rose about 1%. Netflix shares soared about 7% despite the Redbox news.
The service will feature unlimited streaming of titles in the Redbox library. Redbox has acquired streaming rights to content from Viacom‘s (NASDAQ:VIAB) Paramount Pictures, Comcast’s (NASDAQ:CMCSA) NBCUniversal, Lionsgate (NYSE:LGF), Sony Home Entertainment (NYSE:SNE), Time Warner‘s (NYSE:TWX) Warner Brothers and the EPIX TV channel.
Available through a web-based platform, the service will also issue apps for mobile devices running Apple‘s (NASDAQ:AAPL) iOS and Google‘s (NASDAQ:GOOG) Android operating systems.
Subscribers will also receive four kiosk DVD rental credits per month. For $1 more a month, Redbox Instant subscribers will be able to use those credits to rent Blu-Ray disks.
Source URL: http://investorplace.com/2012/12/redbox-instant-sets-price-at-8-month/
Short URL: http://invstplc.com/1nztznZ
Copyright ©2014 InvestorPlace Media, LLC. All rights reserved. 700 Indian Springs Drive, Lancaster, PA 17601.