Business Services Industry
Blockbuster, Netflix cut prices to compete for online rental customers.
Knight Ridder/Tribune Business News, October, 2004
By Crayton Harrison, The Dallas Morning News Knight Ridder/Tribune Business News
Oct. 16--Blockbuster Inc. plans to slash its monthly subscription prices for online DVD rentals, responding a day after rival Netflix Inc. stunned its investors by announcing its own price cut.
The price war shows how things have heated up in the online rental business, which Netflix pioneered in 1999 and Dallas-based Blockbuster entered just this year. Netflix said Thursday it would lower prices because it's expecting Amazon.com Inc. to start renting DVDs online, bringing new competition to an already crowded field.
Blockbuster will allow online customers to order three movies at a time, with no late fees, for $17.49 per month, down from $19.99, chief...
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