This could be interesting! Blockbuster Chief Executive John Antioco told Reuters the price cut for a monthly online subscription to $17.49 from $19.99 would become effective "the week after next." This in direct response to Netflix's announcement it would reduce its monthly online subscription fee to $17.99 from $21.99.
Blockbuster, which operates nearly 9,000 retail stores worldwide, launched its online business in August. Wal-Mart Stores Inc. also has entered the arena, and on Thursday Netflix said it sees Amazon.com Inc entering too. |
That isn't all, the article went on to say that Amazon is getting requests from customers to join in as well, unfortunately at this point they have made no comment to Reuters. However, in a related story it seems that they are more into the won't confirm or deny mode. So we can hope they are at least contemplating such a move. Netflix is sure of it and that's why they got agressive with their pricing to begin with. Blockbuster also
stated they would offer in-store and online promotions such as free movie and video game rentals to help hold market share.
Source: Reuters
