Blockbuster LLC, which opened its first doors in Dallas, TX in 1985, announced today that it will be closing its remaining 300 stores and ending its mail DVD distribution by January 2014.
“This is not an easy decision, yet consumer demand is clearly moving to digital distribution of video entertainment,” Joseph P. Clayton, DISH president and chief executive officer said in an official statement released by Marketwatch. “Despite our closing of the physical distribution elements of the business, we continue to see value in the Blockbuster brand, and we expect to leverage that brand as we continue to expand our digital offerings.”
There used to be a time when renting a movie and bringing it home to watch was the only option, and Blockbuster had the monopoly on that activity. It saw its peak success in 2004, with 9,000 stores.
In September of 2010, the company filed for bankruptcy. Soon after, Dish Network bought Blockbuster for $US228 million in an auction.
Speaking to the digital aspect of the Blockbuster brand, Clayton will focus energy and resources to making Blockbuster competitive in the mobile and digital space. You can read the full statement here.
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