Look at the financial statements and the upcoming debt payments Blockbuster has. It doesn't look good. As much as they are doing right now that is good, there is little financial backing to support it, as you touched on. Hence, no one knows about all of Blockbuster's offerings that directly compete, and often are better, than NetFlix.
However, they still do stupid shit like 5 day rentals. Who needs a movie for 5 days? They also are leasing their branding for the kiosk boxes where they only see 10 percent of revenues. They are merely doing this to stay afloat, because all they are doing is sending consumers away from their stores to a kiosk where they only see 10 percent.
I just think they have some fucked up business practices. We did an analysis senior year of the company and some changes they need to make and it just didn't look good for them financially.