Breaking News. Hollywood upset that you’re not giving them all your money:
Hollywood has a problem. Itâ€™s red, boxy, lets you rent DVDs for $1 a night, and is severely threatening movie studios from making money. The threat is Redbox self-serve DVD rental kiosks outside McDonalds and in grocery stores.
The Associated Press reports earlier this week 20th Century Fox ordered its wholesalers not to sell DVD discs to Redbox until 30 days after a movieâ€™s initial release to help boost retail sales.
This came a day after Redboxâ€™s parent company, Coinstar, reported a 110 percent revenue increase in the second quarter of this year while DVD sales fell 13.5 percent in the first half of the year.
Fox isnâ€™t the first studio to play hardball with the kiosk company. Last year, Universal Pictures and Redbox got in a scuffle after the studio tried to push a 45-delay waiting period. When Redbox objected, Universal cut off its supply.