The largest and top ranked mail-order movie-rental service in the US, Netflix Inc. has managed to end the dispute and reach a new movie licensing agreement with Time Warner Inc.’s Warner Bros, which would give the studio a total of 28 days to sell new releases before customers can check out DVDs from the rental service.

Los Gatos, California based Netflix will now receive new releases from Warner after 28 days, in addition to gaining expanded access to catalog titles for rental and viewing flicks online, as confirmed by the company in an official statement announcing the deal.

Financial terms of the agreement have not been disclosed by any of the parties involved yet.

According to Netflix, the very latest agreement it has managed to strike could act as a model for reaching deals with all studios which are currently facing a decline in DVD sales. By giving the nod to the "sale-only window", the company will be getting lower prices for DVDs, but will have more to spend on material that customers would be able to stream digitally to PCs, wed-connected televisions and gaming consoles.

"It can be a good deal for Netflix in terms of product costs coming down. Is it a good deal for Netflix subscribers? Probably not", said Todd Greenwald, an analyst with Signal Hill Capital Group in Baltimore, while rating the stock as "hold".