Movie-rental giant Blockbuster Inc. is in advanced talks to acquire Movielink LLC, an online movie-downloading company owned by the major Hollywood studios, according to people familiar with the matter, the Wall Street Journal reports.

While the proposed deal is small — the price is said to be less than $50 million in cash and stock — it has important strategic implications. For Blockbuster, it represents a quick way into the online download business. Movielink has quietly peddled films online since 2002, with little success. In the past year or so, the nascent field has begun to pick up momentum, with big players like Apple Inc.’s iTunes and Wal-Mart Stores Inc. jumping into the fray. Blockbuster could bring much-needed marketing muscle to Movielink’s efforts to increase market share.

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