TechCrunch is reporting that Coinstar‘s (CSTR) Redbox, which is is gearing up to challenge Netflix‘s (NFLX) web movie-streaming empire head-on by expanding the popular DVD rental brand to the web with a movie streaming service of its own, could partner with Amazon.com (AMZN) to launch its new venture. At a meeting with analysts, Redbox President Mitch Lowe stated his company’s forthcoming digital option will be subscription-based rather pay-to-play service through which consumers pay separately for each movie.
Is Redbox’s new venture a Netflix killer? Not likely, but the upcoming Redbox media service means the co. will be competing directly with Netflix, which has amassed more than 20 million subscribers (they had projected to add nearly 4 million subscribers in fiscal 2010, but ended up doubling that figure due to the massive growth in popularity of their instant streaming model) to its DVD-by-mail and Internet streaming subscription plans.
During Thursday’s trading session, NFLX shares have gained 30 cents, or 0.13% to $238.02. CSTR is up $1.95, or 4.50%, to $45.25 and AMZN has added $1.09, or 0.58% to $187.71.
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