Rental kiosk operator Redbox is talking to game makers about adding videogames to its offering as it begins running game rental trials in select markets, reports Reuters. The McDonald’s owned company has seen significant success in its cheap DVD rental business, renting movies at $1 a day through automated vending machines. It s now testing game rentals at $2 a day in two markets in Nevada and North Carolina.
Redbox began as a venture designed to draw traffic to McDonald’s restaurants. Today it operates independently, running more than 20,000 kiosks across the U.S. The company’s success hasn’t been without growing pains, with major film studios accusing it of devaluing their products and cutting into their DVD sales. Redbox has been embroiled in lawsuits with Time Warner, Fox and Universal, whose products it says it currently has to purchase at retail to stock into rental kiosks. Reuters says the move to talk to game makers even as it tests videogame rentals is to avoid similar resistance to its business model from game companies. THQ CEO Brian Farrell has said his company would consider working with Redbox, adding that music and movies have proven that resisting new business models has not been a great formula for success.
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