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Reuters: NCR Corp., known for its ATMs, is now banking on growth in its self-service DVD kiosk business as the recession saps demand for its bread-and-butter products.
The company recently joined hands with DVD rental company Blockbuster Inc. and expects to provide about 10,000 DVD rental kiosk units by the end of next year. "Over the long term, in about 10 years, entertainment has the potential to become as big as (the) finance or retail vertical," said chief executive Bill Nuti. No. 1 U.S. DVD rental company NetFlix Inc. cited the growing popularity of kiosks as a reason for its weak outlook when it reported its latest quarterly results in April. NCR, which is also foraying into other verticals such as healthcare and the public sector, expects its entertainment vertical to become a $1 billion business within the next five years. Of the company's overall revenue of $5.3 billion, analysts say the financial segment, which includes ATMs, accounts for more than half of the company's overall business. Retail self-service kiosks account for about 40 percent.
 

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