After testing video game rentals for $2 a night in select markets, Redbox has announced it will start offering the service at thousands of kiosks nationwide. The company started testing game rentals about a year and a half ago.
The new Redbox offering will compete with rental-by-mail company Gamefly, although the company does not have kiosk locations. Netflix could also compete if they were to start offering video games by mail.
Blockbuster (who filed for bankruptcy) already rents video games by mail, but Blockbuster Express (which is actually owned by NCR Corporation) would be a direct competitor to Redbox if it were to start loading video games into its kiosks. Although, Blockbuster has approximately 7,000 kiosks vs. Redbox’s approximate 24,000 kiosks nationwide.
