t looks like the relationship between DirecTV and TiVo isn’t as shaky as I once reported. Just today DirecTV announced that they would extend their service and support agreement with TiVo for another three years! The agreement also has several provisions which are supposed to prevent TiVo from bringing DirecTV to court over a patent dispute if TiVo wins against EchoStar. TiVo stock went up 8.12% on the news while DirecTV’s stock pretty much remained unchanged.
In my opinion, this is a win-win for all parties involved. TiVo wins because the agreement removes the threat of TiVo losing 3 million customers. DirecTV wins because they no longer have to worry about potential patent lawsuits. DirecTV users win because they can continue to use their TiVo and take advantage of future software/hardware updates. This news is yet another reason why TiVo’s future looks promising!
Thanks to everybody who sent me this story. I saw it earlier in the day however; I was unable to comment on it since I was at work….
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