DIVX (Digital Video Express) is a discontinued digital video format. Created in part by Circuit City, it was an unsuccessful attempt to create an alternative to video rental in the United States. The format's poor reception from consumers resulted in major financial losses for Circuit City and is credited with being part of the company's downfall.
Format
DIVX was a rental format variation on the DVD player in which a customer would buy a DIVX disc (similar to a DVD) for approximately US$4.50, which was watchable for up to 48 hours from its initial viewing. After this period, the disc could be viewed by paying a continuation fee to play it for two more days. Viewers who wanted to watch a disc an unlimited number of times could convert the disc to a "DIVX silver" disc for an additional fee. "DIVX gold" discs that could be played an unlimited number of times on any DIVX player were announced at the time of DIVX's introduction, but no DIVX gold titles were ever released.
Each DIVX disc was marked with a unique barcode in the burst cutting area that could be read by the player, and used to track...