Monday, February 6, 2012

Death Of A Giant | Redbox Buys Out Blockbuster Kiosks


After taking the wraps off its joint venture with Verizon, now the company has announced it'll be taking over NCR's entertainment division for $100 million. That includes DVD kiosks, retailer contracts and an inventory of discs for stocking the machines. That's big news not only because it expands Redbox's already sizable self-serve rental empire, but because it's doing so at the expense of the floundering Blockbuster, since NCR owns the blue and yellow rental kiosks. Presumably existing Blockbuster Express installations will become Redboxes, though, how quickly that might happen is unclear.

I received an email today from Blockbuster that went like this:

News About Your Movie Watching Experience


Letter from the General Manager 


 Dear Valued Customer, 


 NCR, which operates your Blockbuster Express kiosks, has entered into an agreement to sell its kiosks and other assets to Redbox. Until the transaction is completed (we anticipate in the third quarter of 2012), you will continue to enjoy the convenience, choice, and value you're used to from BLOCKBUSTER Express. Until the sale is completed, we will continue to run the business as we have been, focused on bringing you the latest New Release movies with most titles only $2 for the first night. You'll also notice that we've increased our In-Stock Guarantee value so you will now enjoy a movie night on us with a value of up to $3 if we don't have the New Release movie you want in stock. 


 As a reminder, we still have 100s of great movies available at $1 and additional nights of all movies are still only $1, all part of preserving an exceptional value for an affordable night of entertainment.  


We'll continue to provide you with information on any changes that result from this recent announcement but for now we just wanted to say thanks for being our customer. 


 Sincerely, Justin Hotard General Manager 


 The BLOCKBUSTER Express Team 


Questions? Concerns? We're happy to help. Email us at service@blockbusterexpress.com or call us at 1-877-300-2128 from 9:00 a.m. - 1:00 a.m. EST, 7 days a week.

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