Blockbuster Video To Close Remaining Stores By January 2014
The evolution to digital media has resulted in another casualty, Blockbuster Video.
DISH Network Company, the parent company of Blockbuster LLC, announced today that it will be shutting down all remaining Blockbuster stores by January and DVD-by-mail services by mid-December, serving current subscribers until then. In a statement on the official Blockbuster website, DISH President and CEO Joseph P. Clayton said,
This is not an easy decision, yet consumer demand is clearly moving to digital distribution of video entertainment. 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.
Though the remaining 300 stores and mail service will be going under, Blockbuster will still continue. DISH Network intends to continue the Blockbuster brand through its “Blockbuster On Demand” service available to DISH Network subscribers. DISH Network Company will maintain ownership of the Blockbuster licensing rights as well as major assets like its video library.
The decision to liquidate the remaining Blockbuster stores is not a surprising one. DISH Network has spent the last year and a half divesting Blockbuster interests in America, the U.K., and Scandinavia. The Blockbuster brand hasn’t been what it used to be, suffering from a failed “no late fees” promotion as well as increased competition from Red Box and streaming outlets like Netflix.