Sunday, May 22, 2005

Movie Rental Battle Rages

(From The USA Today -- By David Lieberman)

The online DVD rental war intensified as NETFLX and BLOCKBUSTER scrambled to claim subscribers who now use a service run by WAL-MART -- which announced that it will exit the DVD rental business June 16th.

Each service mails DVDs to subscribers who go to its Web site to pick movies. They can get a new disc when one is returned.

WAL-MART and NETFLIX made the first move, with WAL-MART offering to switch subscribers to NETFLIX.

WAL-MART hasn't said how many customers it has, but independent analyst DENNIS McALPPINE pegs it at fewer than 100,000. NETFLIX has more than 3 million. BLOCKBUSTER's 7-month-old service has more than 750,000.

NETFLIX will give WAL-MART's refugees an opportunity to sign up for one year under WAL-MART's current terms -- $13 a month with two DVDs allowed out at a time.

Movie Rental Battle Rages

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