Busted for good this time? Blockbuster UK enters administration (again)

Busted for good this time? Blockbuster UK enters administration (again)
Blockbuster won't honour Xbox One and PS4 pre-orders

High street video rental chain Blockbuster is once again facing extinction after entering administration for the second time this year.

Current owner Gordon Brothers, which rescued half of the company's 528 stores and around 2,000 jobs when it stepped in last January to buy Blockbuster UK, has been unable to turn the struggling firm around.

The former king of the home rental market has struggled to adapt to the digital age with home streaming through rental services like iTunes, or all-you-can-eat portals like Netflix or Lovefilm taking over.

Despite the falling demand for physical media, Blockbuster has continued to only offer DVD, Blu-ray and games rentals and purchase in store, as well as through online subscriptions.

PS4 and Xbox One orders scrapped

Blockbuster's new owner had attempted to introduce a digital service, it said, but had failed to reach a licensing agreement with the US parent company.

"Regrettably, the months since the acquisition have also coincided with a period of poor trading performance across both rental and retail sales," said Gordon Brothers.

The company will now begin the search for a new buyer, while stores will continue to trade during while the Blockbuster sits in administration.

Perhaps more pertinently for UK customers, who probably won't miss Blockbuster all that much if it goes under, is the news that Xbox One and PS4 pre-orders made through the company have been scrapped.

A Blockbuster spokesperson told our sister site CVG that customers should visit the store where they placed the order for more information.

Via Inquirer

Chris Smith

A technology journalist, writer and videographer of many magazines and websites including T3, Gadget Magazine and TechRadar.com. He specializes in applications for smartphones, tablets and handheld devices, with bylines also at The Guardian, WIRED, Trusted Reviews and Wareable. Chris is also the podcast host for The Liverpool Way. As well as tech and football, Chris is a pop-punk fan and enjoys the art of wrasslin'.

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