Blockbuster in the US has filed for Chapter 11 bankruptcy protection after mounting losses, rising debt and stiff competition from retailers that have better catered to consumers’ evolving media habits.

Blockbuster said business would continue as usual at its 3,000 US stores, but added it would evaluate the profitability of its retail locations. Blockbuster, which employs about 25,000 people in the US, has been closing stores as it grapples with competition from Netflix, Coinstar’s Redbox and others that deliver movie rentals digitally.