Should Netflix Be Nervous as Verizon and Redbox Unite?

Netflix may have awoken Monday to the biggest looming threat it faces (except for itself when it raises prices).

This morning, Verizon and Coinstar, Inc. (owner of Redbox) announced the formation of a joint venture that will create a new choice for consumers “seeking a simple and affordable way to access the video entertainment they crave.”

In other words, the new partners in steraming video are taking aim at Netflix.

According to details announced today, the venture’s services “will offer all of the convenience, simplicity and value of Redbox new release DVD and Blu-ray Disc rentals combined with a new content-rich video on-demand streaming and download service from Verizon.”

The new platform and service will debut in the second half of 2012.

It will offer subscription services and more in an easy-to-use, flexible and affordable service that will allow all consumers across the U.S. to enjoy the new and popular entertainment they want, whenever they choose, using the media and devices they prefer. Additional brand and product information will be revealed in the coming months.

“When you consider the core elements the parties bring to this venture – our powerful brands; our national rental kiosk footprint; our anytime, anywhere network presence; and our mutual commitment to customer-focused innovation – it’s clear that Verizon and Redbox are a powerful entertainment team,” says Bob Mudge, president of Verizon consumer and mass business markets.

Will you entertain switching or supplementing your Netflix subscription in response to the new Redbox platform through Verizon?