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Gamefly Not Concerned About Redbox's Game Rentals Push

Posted April 28, 2011 by James Brightman

While Redbox had been testing video game rentals at 5,000 movie locations, today the company announced a full nationwide push. Starting this June, Redbox will offer video game rentals alongside movies at over 21,000 locations. IndustryGamers wondered what potential impact this nationwide push might have on Gamefly, the leader in game rentals. 

Gamefly co-founder Sean Spector didn't seem too worried, making an analogy to what Netflix does with movie rentals. "I think both models can work. Look at Netflix and Redbox for movies," he told us.

Indeed, Spector thinks Redbox's latest push makes a lot of sense for consumers. "There are a lot of people who rent movies from kiosks, so renting games to some of those users makes sense. It also proves that consumers want choices when it comes to gaming, and renting is an easy and economical option," he added.

Gamefly allows subscribers to rent one or more video games concurrently, with no due dates, late fees or shipping charges for a fixed monthly fee starting at $15.95 a month, whereas Redbox is planning on making game rentals available for $2 per day. 

James Brightman has been covering the games industry since 2003 and has been an avid gamer ever since the days of Atari and Intellivision. He was previously the EIC of GameDaily Biz.

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