Redbox Automated Retail, LLC is a subsidiary of Outerwall, Inc. specializing in DVD, Blu-ray Disc, and video game rentals via automated retail kiosks. As of the end of November 2012, Redbox had over 42,000 kiosks at more than 34,000 locations.
History:
Redbox Automated Retail LLC was initially funded by McDonald's Corporation.In 2002, the company placed four automated convenience store kiosks that sold grocery items such as milk, eggs, and sandwiches as well as 11 DVD-rental kiosks in Washington Metropolitan Area locations. Redbox withdrew the grocery kiosks within a year, but the DVD-rental kiosks succeeded, and the company changed its focus to that market. In 2005, Coinstar bought 47 percent of the company for $32 million.In early 2008, Coinstar exercised an option to increase its share from 47% to 51%.In February 2009, Coinstar paid McDonald’s and other shareholders between $169 and $176 million for the remainder of the company.
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