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Ferretz wrote: "I have no idea whether Blockbuster has plans to move into the Internet market, but I would not consider investing in the company otherwise."

Blockbuster has decided to stake its future on drawing cash out of its existing video operations and funnel that capital into new media technologies. Not only have they relaunched their web site,, but they have signed a series of deals recently with AOL, MGM, and TiVo to position themselves prominently in branding home entertainment product sent directly into the home.

Unfortunately for Blockbuster, it will be several more years before direct to home entertainment becomes a truly viable business, and ultimately, it's the content providers (i.e. the major studios) who hold all the cards and will determine who and how films are distributed into your home.


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