Best Buy to announce movie downloading service with CinemaNow
Best Buy, CinemaNow

Marking its foray into the movie downloading arena, Best Buy, the biggest DVD seller in the US, will likely announce on Tuesday its own download service for the Internet-compatible consumer electronics - like TV, DVD players, phones, and computers - it sells in its stores.

The yet-to-be-named movie downloading service, for which Best Buy has teamed up with online video provider CinemaNow, will become functional before the end of this year.

Though initially the services will be available on Best Buy's Insignia brand of TVs and Blu-ray players, it will later be expanded to other devices, upon the materialization of the retailer's talks with bigwig consumer-electronics makers like Sony, Sony, Toshiba and Panasonic.

To provide the new service on its store's devices, Best Buy will license the necessary software and infrastructure from Sonic Solutions' Roxio CinemaNow service, which boasts the availability of over 20,000 film titles, mostly latest releases, through its on-demand service.

Noting that the DVD sales have thus far plunged nearly 13 percent this year, Ryan Pirozzi, Best Buy's director of digital media, talking about the upcoming service, said that the move signifies the company's aggressive push into digital delivery.

Pirozzi said: "Digital is developing as a channel and we're forecasting that by 2012 it will be a significant, double-digit percentage" of the revenue generated by movies watched at home.

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