(Englewood, CO) -- Blockbuster is planning on closing all of its U.S. company-owned stores and ending its DVD By Mail services by January.

Parent company DISH Network announced the closures today, saying it was clear customers prefer digital distribution of video entertainment. Colorado-based DISH says the Blockbuster brand is going to continue through their "Blockbuster On Demand" streaming services. DISH does plan on keeping franchised and licensed stores in the U.S. and abroad open. Blockbuster originally opened as a single store in Dallas, Texas in 1985, then became an entertainment juggernaut by the mid-1990's.

The company took a turn for the worse in the mid-2000's It filed for Chapter 11 bankruptcy protection in 2010, then was bought by DISH Network in 2011 for $320 million. Blockbuster currently has around 300 retail stores in the US.