Redbox decides to not renew DVD deal with Warner because of 56 day condition

Redbox has announced that they are not renewing their deal with Warner to get latest DVDs directly from the company at discounted pricing.

Warner required them to sign on a deal that meant that new DVDs would only be available through Redbox network 56 days after public launch.

Redbox decides to not renew DVD deal with Warner because of 56 day condition

This limitation was at 28 days earlier and Warner wanted to double it.

Redbox would now buy the DVDs from the retail market for renting through their own platform.

Redbox has however extended their deal with Wal-Mart to provide their services through their retail stores for another three years.

Remains to be seen if this results in lowered revenues for the company because of increased cost of DVD acquisition.

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