Confirming reports that have been circulating for a few weeks now, Redbox president Mitch Lowe acknowledged today that Disney has changed the terms of its agreements with Redbox and Netflix. Disney is now charging both renters higher wholesale prices on its titles.
Lowe declined to reveal the new terms, but the L.A. Times is reporting that Redbox and Netflix are now paying as much as $17.99 per new release title.
Lowe offered the following on the new terms:
“We did recently update our agreement with Disney, and continue to maintain a strong relationship with the studio . . . Each of our studio partnerships is unique. Disney has been a consistent partner since day one and we are proud to feature Disney titles day-and-date at our more than 26,000 locations nationwide.”
Is Disney, which has been cautiously supportive of the Redbox model in the past, changing its mind about the kiosk renter? Visit the comments and weigh in with your guesses at the Mouse House’s reasoning.
(via Home Media Magazine)