LG Electronics has signed a deal with Dixons Retail to be the first television manufacturer to carry its Knowhow Movies streaming service on the company's 2012 line-up of Smart TVs and beyond.

Knowhow Movies was set up in February this year as a big brand video-on-demand rival to subscription services Netflix, Lovefilm and newcomer Now TV. It offers current and classic films to rent or buy and uses DivX Plus encoding, which ensures that content can be streamed in Full HD and with Dolby Digital 5.1 surround sound.

The service is now available to LG-connected TV owners through a downloadable application, which sits alongside other on-demand movie apps from Lovefilm, Netflix, Blinkbox and Acetrax.

"Our Smart TV platform represents the best in choice and variety for consumers and Knowhow Movies is the perfect example of how we continue to build to respond to consumers’ needs," said Darren Petersen, LG's senior contents and services manager.

Do you have a LG Smart TV? Do you use the app services on offer? Let us know your thoughts in the comments below...