Abstract: A system for capturing, storing and retrieving movies recorded in a video format and stored in a compressed digital format at a central distribution site is described. A plurality of remote distribution locations are connected through fiber optic connections to the central distribution site. The remote sites maybe of one of two types: a video retail store or a cable television (CATV) head end. In the case of a video retail store, VHS videotapes, other format videotapes or other video media may be manufactured on-demand in as little as three to five minutes for rental or sell-through. A totally automated manufacturing system is described in which the customers can preview and order movies for rental and sale from video kiosks. The selected movie is then either retrieved from local cache storage or downloaded from the central distribution site for manufacturing onto a blank or reused videotape.