In general, movies obtained through Movielink could only be viewed on the computer or a television set connected to the computer from which the movie was purchased. However, consumer electronics devices such as the Xbox 360 game console also allowed users to more easily view these digital media on a traditional television screen.[1] Also, Movielink had deals with certain set top box companies to offer its movies downloaded directly to people's televisions(including AT&T's Homezone product).[2] Experimentation with other business models was underway, including a feature which allowed users to purchase, download, and burn a DVD of a selected film.[3]
On June 1, 2006, it was revealed that Movielink's initial investors—a joint venture of Paramount, Sony, MGM, Universal, and Warner Bros—were looking to sell the company.[5] This came shortly after numerous studios announced their intent to work with a range of potential Movielink competitors, such as Amazon.com, Apple Computer, BitTorrent Inc., Jaman, and MicrosoftXbox.
On August 8, 2007, Blockbuster purchased Movielink. According to the 8-K filing by Blockbuster, the total purchase price was $6.6 million. The deal included content agreements thus giving Blockbuster access to one of the largest libraries of downloadable movies. With the acquisition of Movielink, Blockbuster was positioned for media content delivery in brick and mortar rentals, DVD-by-mail, and online delivery of movies.[6]
On December 16, 2008, the Movielink website was shut down. The site was re-directed to the Blockbusterhome page. Customers were notified 30 days in advance that all movies rented or purchased prior to the shutdown date must be downloaded by no later than 12/15/08 11:59 P.M. Pacific Time.
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