What just happened? AMC Entertainment is taking on the likes of iTunes and Google Play by launching its own on-demand video service. AMC Theaters on Demand launches today and will offer around 2,000 movies for both purchase and to rent, with new titles added after they complete their theatrical run.

As is the case with similar services, renting a movie from AMC Theaters on Demand will cost between $3 and $5.99, while purchases are priced from $9.99 to $19.99.

The New York Times reports that Hollywood's five biggest movie studios --- Disney, Warner Bros., Universal, Sony, and Paramount---have all entered into deals with AMC to rent and sell their titles.

"For us, it's all upside. Most of our other big digital partners are focused on multiple categories --- music, books," said Ron Sanders, Warner Bros. president of worldwide distribution and home entertainment. "The great thing about AMC is that movies are the whole focus."

The service is an extension of the AMC Stubs A-List program. Covering more than 20 million households, it allows subscribers to watch up to three movies per week in theaters for a flat monthly rate of around $20. Users of AMC Theaters on Demand will be able to earn AMC Stubs Points with every movie they rent or buy.

"The addition of AMC Theaters On Demand, which extends our movie offerings for AMC Stubs members into their homes, makes perfect sense for AMC Theaters, for our studio partners and for our millions of movie-loving guests," said Adam Aron, AMC's president and chief executive.

You can learn more about AMC Theaters on Demand here.

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