The interactive, touch-screen apparatus has been in testing for about a year following two years in research and development, FlashNGo President Tim Sabo told XBIZ.
The kiosk will be rolled out for market testing in January and February after making its debut at the Adult Entertainment Expo in Las Vegas.
The key markets for the kiosk are liquor stores, adult shops and strip clubs.
“We have commitments from major strip club chains that want to get involved,” Sabo said.
Following testing earlier this year that revealed users weren’t ready to accept Flash memory as the new format, Flash N Go updated the kiosk to distribute DVDs as well.
“The thinking there is that it’ll be a little bit of an education to go from the DVD world to putting content on the Flash drive,” Sabo said.
The kiosk promises to lower distribution costs for production companies and also provide an advantage to retailers, which all will share revenue from sales.
“Some of these machines hold up to 1,000 movies,” Sabo said. The vendors “get a huge inventory at no cost to them.”
Studios have approached Flash N Go to put their content up on consignment, and distribution houses such as Pulse Distribution has expressed interest in working with the company.