Blockbuster Introduces Set Top Movies Box

Blockbuster has tapped 2Wire’s new MediaPoint set-top box as the foundation for its new Web-based on-demand movie service. The player will sell for $99 and is expected to ship “in time for the holiday season.”

Blockbuster’s strategy seems to be closer to the Vudu movie-download service than Netflix’s. Blockbuster will offer new releases and back catalog (at prices starting at $1.99 each), where Netflix offers only back-catalog titles and episodes of older TV shows—but the cost is included in a Netflix subscription.

As with Vudu, Blockbuster’s service will download movies only to a proprietary box; Netflix will download to a PC, Xbox 360, some TiVo models, some Blu-ray players, or to Roku’s $99 proprietary box. But like the Vudu box (and unlike the Roku), the MediaPoint will have enough onboard storage (8GB) for approximately five titles.

Customers who purchase the MediaPoint box will have the purchase price credited to their online rental account, making the hardware essentially free. Vudu is running a similar promotion with Best Buy (crediting $200 of the box’s $299 cost to your rental account). Vudu will apparently still offer at least one advantage: Blockbuster says its movies will be “DVD quality;” Vudu offers at least some of its catalog in high definition.

The MediaPoint is outfitted with HDMI output as well as analog composite and component video, stereo audio (RCA), and digital audio (TOSlink). The box connects to your home network via either wired Ethernet or 802.11b/g. Blockbuster recommends an Internet connection speed of at least 1.5Mb/sec. The MediaPoint has a removable storage slot and a USB port, but these features are disabled in Blockbuster’s configuration.

Although Blockbuster’s movies will be delivered in standard definition, the MediaPoint supports displays at resolutions of 480i, 480p, 720p, and 1080i. You’ll need to provide your own digital-media and Ethernet cables, though; Blockbuster provides only composite video and analog stereo cables.

* Note: This story was updated when we learned the amount of storage the 2Wire MediaPoint will have in Blockbuster’s configuration. —mb