According to movie and entertainment newsgroups, Blockbuster, one of the giants of movie rentals, is now moving towards the SD memory card format, allowing one to view movies on any device that has an SD memory card slot including cellphones and TVs.

As movie newsgroups report, the new service, Blockbuster Express Digital, will be tested in a few markets. The initial offering will have about 1,000 movies, which is about 15,000 fewer than Netflix offers on its streaming service, which works with TVs, computers and PS3s, and other devices. A person would be able to come up to a kiosk, slide their SD disk into the card slot, select a movie and then go watch it either on anything that has an SD reader, including cellphones, TVs and computers. There is nothing to return, since each movie will come with an expiration date.

The card-delivered movies will play on any device with an SD slot, such as a computer or Blu-ray player. Titles will be from Paramount and Warner and some will rent for as little as $1.99. Once you’ve begun watching the movie, you have 48 hours to finish it. The rentals have DRM that kills the video after a certain expiration date, removing the need for users to return a physical disc. Users can also download the videos “on demand” from the Blockbuster website, but at a higher premium, $3.99.

Blockbuster was king of the movie rental business when renting movies from stores was big business. Being first in a market normally gives a business a huge advantage, but in Blockbuster’s case, the company did not keep up with the times over the past few years, and that is now costing Blockbuster a lot. With video streaming an increasingly popular phenomenon, Blockbuster has apparently decided that there’s still a market to rent video discs.