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At $1 a day Redbox is perfect for consumers, not so much for Hollywood

Ben Drawbaugh

Not sure who would've guessed that Redbox Kiosk rentals would be this successful, but evidently most don't mind heading out of the house to rent a movie if the price is right. But it seems that as popular as the disc vending machines are with consumers, Hollywood isn't too keen on the idea. Evidently it is believed that the $1 rental fee is more effective at motivating consumers to rent instead of buy when compared with other alternatives like Netflix and Blockbuster. The interesting thing here to us is that at least one studio (Universal) has attempted to delay selling titles to the company in an attempt to help DVD sales, but as you might expect, Redbox responded with a lawsuit -- which is still pending. Seems to us that Redbox is yet another great example of how packaged media isn't dead, because if for no other reason it is useful because it helps prevent the draconian control of content that Hollywood would obviously love to have.

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