Aggressive Marketing Helps TiVo Trim Q3 Loss30 Nov, 2006 By: Erik Gruenwedel
Marketing efforts aimed at differentiating TiVo from generic DVRs apparently paid dividends as the digital video recorder pioneer posted third quarter (ended Oct. 31) net revenues of $65.6 million compared to $49.6 million during the same period last year.
Alviso, Calif.-based TiVo posted a net loss of $11 million, down 22% from a loss of $14.1 million last year.
TiVo-owned subscribers increased 24% to 1.6 million with the service's overall subscriber base improving 11% to 4.4 million.
The service in November said it would soon offer subscribers software that enabled them to transfer non-copyrighted, user-generated video and podcasts from their PC to the television.
Last week, TiVo unveiled ads platforms that allow marketers to target subscribers — who choose to receive them — with advertising related to their recorded programming.
TiVo is awaiting a federal appeals court's decision after a Texas judge last week denied EchoStar Communications' bid for a new trial following a jury verdict in April that found EchoStar's DVR violated patents held by TiVo.
The judge had awarded TiVo $89.6 million in damages.
EchoStar currently includes a DVR in set-top boxes to 4 million subscribers of its Dish satellite TV network subsidiary.