Blockbuster on Tuesday launched its On Demand digital rental service over TiVo DVR boxes. The online rentals stream to users through TiVo's Series2, Series3, HD and HD XL DVRs and include a mix of both newer titles as well as older classics. The number of offerings will be expanded in the near future.

There will eventually be 10,000 movies and TV shows offered through the TiVo deal, and users will be able to purchase movies with a permanent download for between $15 and $20. Pricing for the rentals is set at $3 for older titles and $4 for new releases.

As part of its agreement, Blockbuster will sell TiVo boxes through at least some of its stores.