DALLAS — Blockbuster Inc., provider of media entertainment, and NCR Corp., global provider of self-service and assisted-service technology, are joining forces to deploy Blockbuster-branded DVD-vending kiosks in a pilot program that could lead to the national rollout of thousands of units.
According to a news release, the initial deployment of 50 Blockbuster-branded kiosks should begin in the third quarter of 2008, with all units expected to be installed by year-end. The pilot kiosks will only offer DVD rentals, but future applications are expected to include digital downloads and other services, such as DVD and video game sales. The companies have not announced the markets or site locations for the first units.
Earlier this year, Blockbuster and NCR agreed to test digital movie downloading kiosks in select Blockbuster locations. The first of those units is expected to be installed in two Dallas stores this summer.
Analysts are projecting DVD-vending kiosks could grow by more than 60 percent over the next three years, increasing from 9,300 units at the end of 2007 to more than 22,400 by the end of 2010. Additionally, consumer spending on movies from vending machines during that same period is expected to grow from $197 million to more than $760 million.
