moviebeam was initially founded by Disney in 2002 to deliver digital movies to Set Top Boxes (STBs) at home, using the extra bandwidth of television broadcast towers. It was re-launched in 2005 with backing from Disney, Intel and Cisco, and its second generation STB reaching over 10,000 homes in 33 large US markets. It was later purchased by Moviegallery (the 2nd largest video rental chain in the US) in January 2007, which introduced digital delivery to the STB via broadband internet access. moviebeam was acquired by Valuable Technologies Ltd. (VTL) in May 2008 from Moviegallery.

The moviebeam service was conceived specifically for delivery of digital content (primarily movies) to millions of consumer homes using state-of-the-art technology for efficiency and reliability. An estimated $250 million has been spent developing the system/service prior to sale to VTL. moviebeam was operational in over 10,000 homes for nearly 3 years and is a working system with operational excellence.