WarnerBros in partnership with GUBA.com have released an online Video On Demand (VOD) service. Movies and TV Shows are available. TV shows are available for $1.79 an episode but let's face it that isn't the news you really care about. Here's what you do care about: WB movies are now available for $9.99 but $19.99 for new releases. Also, there is a 24-hour rental that you may purchase for $1.99. Downloads can run up to 1.3 MB/sec.
Also, the DRM allows a single DVD burn backup copy and is playable on up to 2 computers and 1 portable device. As far as I have been able to determine the content is in a Windows Media format which basically guarantees no support on a video iPod.
WB previously announced a BitTorrent model and this is not it. I have no clue when that will be released but hopefully soon.
WB has beaten Apple to the starting line but with the lack of iPod support I just can't say that it will be a success.