Verizon And Redbox Reveal December Launch For Combined Streaming Service

The latest competitor to Netflix’s American online streaming dominance in an ever-expanding market has been revealed, with broadband/telecommunications giant Verizon teaming up with famed ‘kiosk DVD rental’ business Redbox to release Redbox Instant, a video streaming service now confirmed to be launching within a month and by the end of 2012.

Rumours from GigaOM suggest the earliest possible release date as 17 December, and that the monthly cost of the platform could be as low as $6 a month. For a slight;y raised price, the venture is thought to be seriously undercutting Netflix’s offering by including kiosk DVD rentals along with streaming as part of a combined package deal.

The deal to launch the service was originally announced in February by Verizon and Coinstar (owners of Redbox), though few details are currently revealed, aside from a launch announcement that the service will feature ‘on a variety of devices’ (including portable products, computers, and games consoles).

According to GigaOM’s private beta research of the service, the subscription structure will be grouped into $6 (online streaming only) and $8 (streaming + four ‘DVD rental credits’ per month), while less committed customers will be likely to be able to stream ‘video on demand’ content at a rate of $0.99 each. Meanwhile the rumoured device compatibility list so far includes Android and iOS devices, Samsung Smart TV sets, featured Blu-ray players, and Xbox 360.

With a strong business model on paper, will Redbox Instant make an impact in the streaming market, or does their entry come too little too late to be seen as an immediate competitor?

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