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Redbox Ready to Give Streaming Another Try With Redbox Digital

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While it's still in the testing phase, Redbox may enter the streaming video market once again. A year-and-a-half after its last streaming venture closed. Redbox is planning a transactional video-on-demand service called Redbox Digital. Variety broke the news. According to unnamed sources familiar with the plans, Redbox Digital won't offer a subscription, but will compete with on-demand rental stores such as Apple iTunes and Google Play.

The differentiator for Redbox Digital is that it connects with Redbox's existing loyalty program. Customers will be able to earn points by renting movies and shows online. The service is being developed with a browser interface, built as a new section to the Redox website. There are plans to support TV-connected platforms (like Roku or Chromecast) and mobile apps, as well.

A Redbox representative responded to Variety by saying the company regularly tests new concepts that may or may not come to market.

Redbox's previous online service, Redbox Instant, closed in October 2014. Launched 18 months before with Verizon as a partner, Redbox Instant included both on-demand and subscription offerings, and gave customers credits they could use at Redbox kiosks.

The stock for Outerwall Inc., Redbox's parent company, rose by over four percent following Variety's story.

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