Covered in detail at All Things Digital earlier today, Verizon and the team behind Redbox have started rolling out an alpha-test of the new video streaming service Redbox Instant. While the two companies have only put up a splash page on the newly created site, anyone interested in the streaming video service can submit their email for news updates as well as notification about the beta test of the service before it fully launches to the public. While the alpha test has launched as of today, the beta test is expected to launch in the next couple months and the service will launch publicly before the end of the year. Verizon’s Shawn Strickland has been named as CEO to head up the new project.
At this point in time, neither company has released details on the variety of subscription packages or the pricing of a streaming video subscription. Redbox will likely structure a subscription package that would include streaming video access in addition to a specific amount of Redbox rentals per month obtained from a nearby kiosk.
This will allow a subscriber to get access to the latest releases on DVD or Blu-ray in addition to a catalog of streaming movies on demand. It’s also possible that Redbox could incorporate video game rentals into the options for subscription packages.
Regarding streaming access to content, it is likely that Redbox will focus on providing access to a larger variety of movies than Netflix or Amazon currently provide. Strategically, this would be a smarter focus than attempting to complete with the huge library of television shows currently on Netflix. It’s also possible that Verizon will want to work in rental options for FIOS customers that lead the user from the Redbox Instant application to a digital rental on the FIOS service. The two companies could also build a simple interface for paid rentals within the Redbox Instant application, thus allowing a user to pay between $4 to $6 for a digital rental if it’s currently unavailable within a Redbox kiosk due to the standard studio waiting period of four to eight weeks.
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