From TFA: "By acquiescing, Netflix will get a steep discount on Warner Bros.' discs — savings that the company intends to use to expand the selection of movies and TV shows available for instant viewing over the Internet. Warner Bros. already has agreed to contribute hundreds of additional movies to that service — triple the current catalog. They will include many titles that have only been out on DVD for three to eight months."
Netflix is not so much alternative to Blockbuster, who will benefit slightly from the deal, but to cable television.
Avoid strange women and temporary variables.