

During this time, Redbox continued to rent films from these companies, purchasing them retail from places like Walmart instead of receiving them from the movie studios, which in some cases saved Redbox in costs due to the discounted prices offered by retailers. filed motions to dismiss Redbox's lawsuits against them. In October 2009, 20th Century Fox and Warner Bros. In August 2009, the federal judge hearing the Universal case allowed an antitrust claim to continue. Redbox responded by filing lawsuits, first, against Universal in October 2008, then against 20th Century Fox and Warner Bros. represented 62% of home video rental revenue in 2008–09.

With growing concern in 2009 that DVD kiosks might jeopardize movie studio income from DVD sales and rentals, three major movie studios, 20th Century Fox, Warner Bros., and Universal Studios, separately refused to sell DVDs to Redbox until at least 28 days after their arrival in stores. Lowe was named President of Redbox in April 2009. Video Droid attempted a VHS rental vending machine concept, though the idea was quickly deemed impractical. Lowe owned and operated a video rental company named Video Droid from 1982 through 1997. In 2005, he became the Chief Operating Officer of Redbox. At Redbox, he started first as a consultant and then as VP of Purchasing & Operations. Mitch Lowe joined Redbox in 2003 after spending five years as an executive at Netflix. The numbers for Q2 2013 shows that the Redbox rentals had surpassed 50% of the total disc rentals in the country. population lived within a five-minute drive of a Redbox kiosk. In Q2 2011, kiosks accounted for 36% of the disc rental market, with 38% of that attributable to rent-by-mail services and 25% to traditional stores, according to the NPD Group. Current and former competitors include Netflix, Blockbuster, Movie Gallery and its subsidiary Hollywood Video, West Coast Video and Family Video along with other DVD by mail rental services. locations, passed 100 million rentals in February 2008, and passed 1 billion rentals in September 2010. The company surpassed Blockbuster in 2007 in number of U.S.

While traditional brick and mortar rental stores were closing at a high rate, Redbox moved into existing retail locations such as supermarkets, and placed kiosks within them or outside of them in order to gain that consumer base.

In February 2009, Coinstar paid McDonald's between $169 and $176 million for the remainder of the company. In early 2008, Coinstar exercised an option to increase its share from 47% to 51%. In 2005, Coinstar bought 47% of the company for $32 million, after unsuccessful attempts to sell half the company to Blockbuster and Netflix. Kiosks rented both films and video games. The company also employed a ‘return anywhere’ policy, different from competitors, which allowed consumers to return their rental to any Redbox kiosk, not just the one from which they originally rented the unit. Instead, Gregg Kaplan decided to use the kiosks for DVD rentals which was tested in Denver in 2004. Originally the kiosks sold convenience store products under the name Ticktok Easy Shop, however in late 2003 McDonald's ended its use of the kiosks for these products. Redbox Automated Retail LLC was initially started by McDonald's Corporation business development team.
