Blockbuster Express kiosks moving
in to Illinis Chicagoans renting DVDs at DVDPlay Inc. kiosks
at Dominick's stores will soon be renting from Blockbuster Express machines by NCR Corp. instead.
NCR, which operates 2,500 kiosks in the U.S. and Canada, announced Thursday that it acquired DVD Play under undisclosed terms and by early next year will be converting kiosks in the Chicago area. Blockbuster Inc. licenses its brand to NCR.
NCR said it expect to operate approximately 3,800 kiosks across the U.S. and Canada by year's end and that the deal expands its reach into California, Colorado and Illinois.
The kiosks allow customers to rent DVDs for $1 a night from a box similar to a vending machine, a business model similar to that of Oakbrook Terrace-based kiosk giant Redbox, which is expected to have about 20,000 kiosks by year's end.
Each Blockbuster Express machine holds approximately 900 DVDs and is prepped to allow for the digital download of movies to portable memory cards at some point in the future. Redbox has said it is considering digital download as an option for its machines if consumer demand warrants it.
Redbox's rapid growth and cheap prices have raised the ire of Hollywood, and Redbox is suing several studios who have attempted to place restrictions on the timing of new releases. Research group NPD expects kiosks to account for 30 percent of DVD rentals by 2010.
jwernau@tribune.com Copyright © 2009, Chicago Tribune
