Netflix gets competition with Verizon-Redbox deal
Netflix gets competition with Verizon-Redbox deal
1:33

Netflix gets competition with Verizon-Redbox deal

Tech Industry
Redbox has the movie titles. Verizon has the technology and infrastructure. Add them together, and you've got what could be a powerful provider for streaming on-demand entertainment. It's allowing Verizon to get in on a streaming game and actually count your Netflix head on. Separating this new subscription plan from the well established DVD rental service, is the ability to download movies and TV shows, so you can watch them later, in addition to just streaming them, a service that Netflix doesn't offer. Netflix has had all those backlash recently when it split the DVD business from the streaming business and started basically charging double to people who want it both. Like Netflix, the service will be available in two forms, as a traditional DVD rental from Redbox kiosks like these, through a streaming service on a wide variety of devices; televisions, smart phones and tablets. Under this deal, Verizon will own 65% of the joint venture, Redbox 35%. But other subscriptions and pricing details are vague, but CNET's Jessica Dolcourt says that it will all come down to the content the services can provide. If you wanna see your favorite TV shows, you wanna see your favorite movies and if Netflix can provide it, you might go over to Netflix. If Verizon can provide it, you'll go with Verizon. I think it's great. I don't have to come over here and rent a movie, you know. Definitely, I'd probably use that service. They have new movies available, than on Netflix. It sounds cool. If that attracts more customers, then hey. The service is expected to launch in the second half of 2012. In San Francisco, I'm Kara Tsuboi, CNET.com for CBS News.

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