Dallas - Video rental giant Blockbuster announced on Thursday that it has acquired Movielink, a joint venture of a number of movie studios that sells movie and TV downloads.

Financial terms of the deal were not disclosed.

Founded in 2002, Movielink is a joint venture of MGM, Paramount, Sony Pictures, Universal Pictures and Warner Bros. Studios.

As part of the deal, Blockbuster gains access to licenses of the movies the studios have made available on the service, in addition to content from more than 30 other studios, television-content distributors, and foreign and independent content providers.

The deal will give Blockbuster entry into the video download market, where competitors include Apple's iTunes, CinemaNow and Amazon.com, as well as increase competition in the online DVD rental market with rival Netflix, which offers a streaming movie service.

Movielink makes its content available to consumers for viewing on their PCs, portable devices, television-connected home networks and approved set-top boxes.

"Now, in addition to the entertainment content we provide through our stores and by mail, we have taken an important step toward being able to make movie downloading conveniently available to computers, portable devices and ultimately to the television at home," said Blockbuster chairman and CEO Jim Keyes.

Related Links:
http://biz.yahoo.com/prnews/070808/law170.html?.v=5

http://www.blockbuster.com

http://www.movielink.com