An analyst with San Francisco Merriman Capital says Redbox could join forces with Hulu to deliver its long awaited digital video service.
Redbox, currently operates disc rental kiosks, but parent company Coinstar has continuous hinted that the outfit will embrace digital services and compete with the likes of Netflix and Amazon.
Now Merriman Capital analyst Eric Wold thinks that linking up with the Hulu Plus service makes the most sense. Hulu Plus now has nearly a million paying subscribers, but is focused on TV, as opposed to movies, and Wold believes that Redbox would best complement the streaming service owned by The Walt Disney Co., NBC Universal and News Corp.
"Not only does Hulu offer unlimited streaming … but the exclusive TV show content selection is differentiated from what consumers can access at either Netflix or Amazon, and we believe would be complementary to the new-release movie selection within Redbox kiosks," Wold noted.
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