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by HarHarVeryFunny
98 days ago
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I have a hard time believing that Redbox had much of an impact on Blockbuster, and they certainly weren't changing the video rental paradigm. Netflix's original DVD-rental by mail business no doubt ate into Blockbuster's business to some degree, and with their huge inventory was more of a head-on competitor than Redbox which could only offer a vending-machine full of options - the most popular ones. What really killed Blockbuster was streaming video, not just a way of "automating" the DVD rental business - it was the paradigm shift, similar to the mobile banking vs ATM shift that TFA describes. |
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Netflix streaming launched in 2007 and ended 2010 with only 20 million users. (They currently have over 15x that). I was using it from the start, they had barely any content back then, Hulu was pretty new, and that was the entirety of the streaming universe. Netflix’s first major original content, House of Cards, came out in 2013.
Blockbuster peaked in 2004. Redbox was just getting started.
Blockbuster’s fall loves to get shoved into 100 different narratives, none of which match the facts. It was death by 1,000 papercuts. Netflix. Redbox. Cable system technology improving drastically. Cable TV improving drastically (this happened right around the time Blockbuster peaked, great book on how/why called Difficult Men). TV show quality in general improving drastically. The rise of HBO. Poor management. Etc.