Redbox Instant Expands Streaming With Limited Public Test

Redbox Instant by Verizon, the new online-video service, expanded a test of its subscription streaming by opening it to a wider group of invited users.

The company, a venture between Coinstar Inc. (CSTR)’s Redbox and Verizon Communications Inc. (VZ), announced the expansion today on Twitter Inc.

The service is counting on price and convenience to gain a foothold in the online-video market. Customers will be able to buy unlimited streaming and four rentals per month from Redbox kiosks for $8 or $9. The higher price includes access to Blu-ray disks. Streaming-only is $6 a month, Chief Executive Officer Shawn Strickland said in a Dec. 12 interview.

The Twitter announcement directs readers to RedboxInstant.com to request an invitation for the expanded trial run. The service was previously being tested by about 2,000 employees of New York-based Verizon, the second-largest U.S. phone company.

A full commercial rollout is expected in the first quarter of 2013, the company has said.

To contact the reporter on this story: Michael White in Los Angeles at mwhite8@bloomberg.net

To contact the editor responsible for this story: Rob Golum at rgolum@bloomberg.net

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