Blockbuster has been dilly-dallying with online movie services for a long time, while the established move-download services continue to thrive.

Finally, Blockbuster announced it has acquired Movielink, one of the nation’s leading movie download services. No terms of the deal were announced, but Blockbuster says it will continue to operate the Movielink service eventually offer movie downloads at blockbuster.com.

As for NetFlix? The company decreased its DVD rental rate by $1 per month to compete with the Blockbuster. That does it, I’m signing up. (Although my mother tried to awhile ago and had a painful experience. Read her account in ”Nyet-Flix.")

The number one rated Web site in the world for customer satisfaction just gave people something more to love: lower prices. Netflix, Inc. (Nasdaq: NFLX), the world’s largest online movie rental service, today announced it is dropping the price of two of its most popular subscription plans by $1.

Movielink was established as a joint venture between Metro-Goldwyn-Mayer Studios Inc., Paramount Pictures, Sony Pictures Entertainment, Universal Pictures and Warner Bros. Studios.

Read the Blockbuster press release.