Movie rental service to enable users to download pics on USB drives

Movie rental service Digiboo, started by a trio of former MGM homevideo executives, has locked down Fujitsu to build Digiboo’s kiosks, which will enable customers to download films to USB flash drives.

Fujitsu-subsid PFU Systems will exclusively build and roll out Digiboo kiosks in 7,000 retail locations, including airports, over the next three years. First installations start this year.

San Jose, Calif.-based PFU has also made a strategic cash investment in Digiboo. The undisclosed amount will be used to grow Digiboo’s service overseas. PFU is the largest kiosk supplier in Japan, and the company has delivered more than 60,000 kiosks worldwide over the last five years.

Morgan Freeman was an early investor in Digiboo through his Revelations Entertainment banner.

Richard Cohen, former MGM Home Entertainment and consumer products president created Santa Monica-based Digiboo with Jeff Karbowiak and Blake Thomas after leaving MGM in 2008.

Company has built a library of 1,000 movies. It typically takes less than 30 seconds to download a pic to be played on a computer.

A number of entrepreneurs are eyeing DVD-less downloads as a cheaper alternative to the disc-filled kiosks operated by companies like Redbox.

“To ensure delivery of a quick and consumer-friendly experience, we turned to PFU for help with one of the most important elements of our business, the kiosk — the ultimate interface with customers,” Cohen said.

Digiboo initially launched a pilot program with the now bankrupt Hollywood Video and Movie Gallery homevideo stores.

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