Redbox DVD rental locations exceed over 15,000 locations. Movies are offered at the low price of only a $1 a day. Redbox locations are so popular that at some locations people are lining up and waiting to get their hands on the latest releases. But all of that may be coming to an end as several movies studios have ordered that newly released movies not be sold to the rental company.

In a recent news release it states the following information:

The kiosks are gaining popularity, but their price and ease of use aren’t winning over everyone. 20th Century Fox and Universal Studios have ordered wholesalers not to sell newly released DVDs to the rental company.

Unlike Blockbuster and Netflix, Redbox does not share profits from rentals with the major movie studios. But why should they?

The rental kiosks do not violate copyright law since they legally purchase the DVDs, and any form of unnecessary profit-sharing would certainly raise prices for consumers.

Upset by Redbox’s success, Fox and Universal are leaning on wholesalers who distribute their DVDs to cut ties with the rental company. Redbox has responded by suing the studios for anti-competitive practices and abusing copyright law.

I must agree with Redbox. This type of behavior by the studios is not in the best interest of the consumer. The studios are Communists who need to be dealt with severely! Power to the people. LOL

Comments welcome.