By Telecom
Lead Team: Verizon and Coinstar have started a joint venture which will create
a new choice for consumers seeking an affordable way to access the video
entertainment.
The joint
venture plans to introduce the product portfolio in the second half of
2012.
Both the
company announced that the joint venture is a limited liability company with
Verizon holding a 65 percent ownership share and Redbox holding a 35 percent
ownership share at the outset.
The joint
venture will offer subscription services and more in an easy-to-use, flexible
and affordable service that will allow all consumers across the U.S. to enjoy
the new and popular entertainment.
The venture’s
services will offer all of the convenience, simplicity and value of
Redbox new release DVD and Blu-ray Disc rentals combined with a new
content-rich video on-demand streaming and download service from Verizon.
“When you
consider the core elements the parties bring to this venture – our powerful
brands; our national rental kiosk footprint; our anytime, anywhere network
presence; and our mutual commitment to customer-focused innovation,”
said Bob Mudge, president of Verizon consumer and mass business markets.
This venture
between Verizon and Redbox will create the kind of national multi-platform
product that customers are demanding from video entertainment service
providers.
“Consumers
rely on Redbox for the latest new release movies at a great value, and our
joint venture with Verizon will enable us to bring them even more value by
offering expanded content offerings and greater flexibility for how and when
they enjoy entertainment,” said Paul Davis, chief executive officer
of Coinstar.
In addition,
the venture will leverage Verizon’s relationships with entertainment content
providers, its advanced cloud computing technologies and state-of-the-art IP
network infrastructure to distribute video on-demand content to its customers.
Recently, Verizon expanded its enterprise network platform, enabling enterprises to
benefit from Verizon’s Private IP service in six additional telecom markets in
Africa, and Bahrain and Qatar in the Middle East.
editor@telecomlead.com
