DVD Kiosk Firm Redbox Sues 20th Century FoxAuthored by Mark Hefflinger on August 12, 2009 - 12:00pm.
Oakbrook Terrace,
Ill. - Redbox, the DVD rental
kiosk unit of Coinstar (NASD: CSTR), said on Wednesday that it has filed suit in federal
court against News Corp.'s (NYSE: NWS) 20th Century Fox movie studio, over Fox's decision
to delay distribution of new release titles to Redbox kiosks until 30 days
after public release. "At the expense of consumers, 20th Century Fox is
attempting to prohibit timely consumer access to its new release DVDs at redbox
retail locations nationwide," said Redbox president Mitch Lowe."Despite this attempt, redbox will continue to provide our consumers access to all major new releases including 20th Century Fox titles at our more than 15,000 redbox DVD rental locations." Redbox previously filed suit against Universal Studios Home Entertainment in October, alleging violation of antitrust laws and misuse of copyrights over a similar release window issue. Illinois-based Redbox announced yesterday that it signed a new multi-year distribution deal with movie studio Lionsgate; the company signed a similar agreement with Sony Pictures in July. Redbox DVD rental kiosks can be found at more than 15,000 locations, including McDonald's, Walmart and Walgreens.
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