Redbox

Redbox Automated Retail, LLC was an American video rental and streaming media company, based in Oakbrook Terrace, Illinois.

Redbox specialized in automated DVD rental kiosks, and also operated transactional and ad-supported streaming video and television services.

At its peak in the early 2010s, the company operated kiosks at more than 34,000 locations,[a][3][4] and controlled more than half of the US DVD rental market.

As part of ongoing liquidation proceedings, Redbox’s online streaming services and mobile app ceased functioning in July 2024.

[13] While traditional brick and mortar rental stores were closing at a high rate, Redbox moved into existing retail locations such as supermarkets, and placed kiosks within them or outside of them to gain access to that consumer base.

Video Droid attempted a VHS rental vending machine concept, though the idea was quickly deemed impractical.

For example, Redbox currently estimates we will pay more than a combined $1 billion over the next five years to Sony, Lionsgate and Paramount to purchase and then rent new-release DVDs to consumers,"[26] while Warner Bros. says the deals are proof that far from being shut out by Hollywood, "Redbox's business has thrived since its suit against Universal, underscored by lucrative distribution deals with Paramount Home Entertainment, Sony Pictures Home Entertainment, and Lionsgate.

In the agreements, which settle the lawsuits, Redbox agreed to not make available for rental films from these studios until 28 days after their initial home-video releases.

[35] In Q2 2011, kiosks accounted for 36% of the disc rental market, with 38% of that attributable to rent-by-mail services and 25% to traditional stores, according to the NPD Group.

[36] That October, the company began offering video game rentals in select markets, including Reno, Nevada; Orlando, Florida; Stevens Point, Wisconsin; Austin, Texas; Wilmington, North Carolina; and Corvallis, Oregon.

Redbox Tickets launched in October 2012 in Greater Philadelphia,[42][43] and was later expanded to the Los Angeles area in early 2013.

[49] 1,400 kiosks were installed in Canada before Redbox ended operations in the country in March 2015, citing low demand.

In early September, Outerwall was sold to Apollo Global Management and its three units (Coinstar, ecoATM and Redbox) were split into separate operating companies.

[53] In January 2017, Redbox began relocating some of its then-40,000 kiosks, with the intention of analyzing consumer trends and reacting to under-performing neighborhoods.

[68] In July 2023, Chicken Soup for the Soul Entertainment announced a partnership with the video sharing platform TikTok, under which screens showcasing top content from the service will be installed on at least 3,000 Redbox kiosks.

These ads will also display advertising sold by Chicken Soup for the Soul Entertainment's sales platform Crackle Connex.

In February 2024, drug store chain CVS filed a lawsuit against Redbox for failure to pay commissions during the third quarter of 2022.

[70]On April 23, 2024, Chicken Soup for the Soul Entertainment announced a $636.6 million loss in 2023, and warned that without any options to generate additional financing, the company could be forced to liquidate or pause operations, and seek a potential Chapter 11 bankruptcy protection filing.

[72] On June 29, 2024, the company filed for Chapter 11 bankruptcy protection after missing a week of paying its employees and failing to secure financing.

[80][81] Discs within are marked with barcodes, allowing identification by the kiosk's machinery, and stored on the carousel in thin plastic cases, which are dispensed to customers via a small slot next to the control panel.

[85] Redbox began in 2004, using re-branded kiosks manufactured and operated by Silicon Valley–based DVDPlay, at 140 McDonald's restaurants in Denver and other test markets.

In addition, the software, designed and developed by Enterprise Logic Systems,[91][92] was also innovative in that it allowed RedBox to remotely monitor and manage inventory at all kiosks throughout the country.

In late December 2020, Redbox began offering a yearly subscription service allowing a subscriber to rent 12 or 24 discs in total, depending on their plan of choice.

[93] Retail chains hosting Redbox kiosks have included McDonald's, CVS,[70] Walgreens, Dollar General,[94] Family Dollar, Walmart, Market Basket, Kroger and subsidiaries, Albertsons, Safeway, Meijer,[95] Winn-Dixie, Publix, Hannaford,[72] Wegmans,[96] 7-Eleven,[70] Cumberland Farms, Circle K, and Sheetz.

[97] On March 14, 2013, Redbox Instant by Verizon officially went public, offering customers a free 1-month trial of an $8/month unlimited streaming service that includes 4 disc rentals from kiosks ($1 more for Blu-ray).

[100] Redbox Instant disabled sign-ups for new users in mid 2014 owing to a growing number of people using the website to verify stolen credit cards.

[103] Redbox Free Live TV was an ad supported channel based video on demand service.

Other content suppliers include America's Funniest Home Videos, Cinedigm, Comedy Dynamics, Fremantle, FilmRise, Gravitas, Jukin Media, Kabillion, Maverick Movies, People Are Awesome, TMZ, and USA Today.

Redbox former logo (2002-2016)
Shutdown notice on a Redbox kiosk at an Albertsons store
A Redbox kiosk in front of a Loaf 'N Jug in Gillette, Wyoming
The carousel of discs inside of a Redbox machine.
A Redbox barcoded DVD tray, delivered by and returned to the kiosk.
Redbox at a Family Dollar store, still operating in August 2024