20th Century Fox and Universal Pictures have signed new distribution agreement with the DVD-by-mail service, which comprise a 28-day holdup on new releases.

The deal is related to one signed by Warner Bros. with Netflix in January. As with that agreement, the Fox and Universal deals offer Netflix more flattering financial terms on new releases in trade for the delay.

The firm is using the savings to get more films from the two studios for its Internet streaming service that it says is critical to the future of the company as more customers switch over to view movies online from DVDs.

Fox also will offer some of its TV shows to Netflix for Internet streaming for the first time.

Fox, Universal and Warner have taken the first step in publicly criticizing DVD kiosk company Redbox, disputing that low-cost new-release rentals weaken the home entertainment business.

Fox and Universal are still enmeshed in a legal war with Redbox, whereas Warner struck a deal with it last month. Fox and Universal desire to enforce a similar delay on Redbox.

This will set up a situation in which customers can rent DVDs only when they go on sale from physical vendors like Blockbuster that recently signed contracts with Warner, Fox and Sony Pictures, which promise that it can proffer new releases at launch.

The first new films, which will be covered by the new Netflix deals are, "Avatar" and "It's Complicated”, which will go on sale April 22 and 27.