Gamefly to take on Netflix with DVD rentals

Michelle Clancy | 06-03-2014

Video game rental service Gamefly has expanded into the physical movie rental business in a move that will directly compete with Netflix' disc-by-mail rental service.

It's a strange decision given that the bricks-and-mortar DVD and Blu-ray rental model has been steadily declining. But Gamefly said that the service, which is in beta for now, will simply enrich its existing successful game-rental gambit. Subscribers will be able request up to two movies at a time and won't need a separate account.

"We're viewing this as a test, based on feedback we've received from subscribers who asked for it," Gamefly CEO Dave Hodess told VentureBeat. He added that it will be a work in progress, with the company making tweaks to the model as the trial goes on.