America's well-loved video rental store will now close down its remaining 300 outlets nationwide. Blockbuster video-rental Company acquired by DISH Network Corp. (DISH) on April 2011, will end its reign in home-movie viewing.

Blockbuster will shutdown all of its 300 outlets by early January and stop its operations with mail DVD service, a competitor to Netflix, by mid-December, according to the Colorado-based company.

Each of the Blockbuster outlets is estimated to have eight to 10 employees, meaning the shutdown will cost about 2,800 jobs nationwide. However, DISH will continue to sell other services by keeping the licensing rights to the Blockbuster brand.

"People were waiting for the death knell for that business for many years," according to Matthew Harrigan, Wunderlich Securities Inc. Analyst. "With everything happening on the digital distribution side, it has been long overdue."

DISH acquired the Blockbuster chain out of bankruptcy on April 2011 from a $320 million auction; the company had already stripped all of its international assets that include U.K. and Scandinavia operations. It has been slowly shutting down all of its 1,700 outlets it acquired.

"This is not an easy decision, yet consumer demand is clearly moving to digital distribution of video entertainment," CEO of DISH Network, Joseph Clayton stated. "Despite our closing of the physical distribution elements of the business, we continue to see value in the Blockbuster brand, and we expect to leverage that brand as we continue to expand our digital offerings."

However, "Blockbuster has no brand," Dan Rayburn, StreamingMedia.com analyst said. "Consumers stopped thinking about the brand a long time ago. Why did they take so long to close?"

In addition, DISH is planning to set its eyes on the Blockbuster @Home business, a streaming service available to Dish pay-TV customers for an extra fee and Blockbuster On Demand, the streaming service for the public will continue its operation as well.

"The quantity of movies (for Blockbuster On Demand) is so limited," Rayburn explained. "Some of them are not even on (high-definition). It's not even a real service. You can't put it up there with Vudu or Netflix or Hulu."