Redbox has signed a new deal that will bring some movies to its rental kiosks earlier.
The new agreement is between Redbox and Time Warner Inc (NYSE:TWX). The deal between the two companies means that TWX movies will be available for rent from the kiosks seven days after they are available for purchase.
“Our latest deal signals Redbox’s steadfast commitment to making new release entertainment readily available to consumers across America, for as low as $1.50 a night,” Redbox CEO Galen Smith said in a statement. “With thousands of new kiosk installations planned this year and next, Redbox remains focused on delivering the freshest content, at the best value, nationwide.”
This new deal between Redbox and Time Warner Inc means that customers won’t have to wait as long to see movies from the studio. The previous agreement between the two companies kept TWX’s movies from showing up in the kiosks for 28 days after their retail release.
Time Warner Inc is reportedly allowing Redbox to carry its movies earlier due to poor sales. The previous agreement of waiting 28 days was designed to keep rentals from eating into its DVD sales, reports The Wall Street Journal.
The new agreement between Redbox and Time Warner Inc comes as the former prepares to open more kiosks across the United States. The DVD and Blu Ray rental company is planning to open an additional 1,500 kiosks by the end of 2017. This will give it a total of 41,500 kiosks in the country at the end of the year. It also says it plans to open more kiosks in the following year.
