Swimming in the deep end with concrete feet and sharks circling is how I envision Blockbuster these days.  Today, in the hopes of staying afloat, they struck a deal with Tivo to offer movies on demand via the DVR company’s set top box.  But will it work?  I seriously doubt it.  Tivo, which already lets Netflix customers stream movies from their database of 12,000 movies and TV shows on their award winning DVR, will also benefit from the deal by obtaining Blockbuster store shelf space in attempt to sell their DVRs to movie renters. (Do you remember the last time you went into a Blockbuster and actually bought, not rented something?)

The Blockbuster Movie On Demand service is compatible with TiVo’s Series 2, Series 3, TiVo HD and TiVo HD XL DVRs.  Rented movies, which will last for 25 hours will cost $4 and purchased movies will cost $20.  10,000 movies are currently on demand and Blockbuster says their On Demand Movies will be available before cable’s Pay Per View service.  Rumors are circulating that Blockbuster is in talks with Apple, but I don’t see that happening.

[CNN]