TiVo still suffering: Can it last?
TiVo might be winning courtroom battles, but it isn’t winning friends where it matters, in the retail sector. TiVo’s DVR functionality is well understood, but subscribers are abandoning TiVo in droves.
This past quarter (to April 30) has seen TiVo lose $4.13m as sales fell 9.7% to just $54.9m, although this was better than most analysts’ expectations. Total subscribers tumbled a worrying 16% to just 3.19m overall. At this rate the business will simply implode. Gross additions during the three months were 37,000 (down from 48,000 this time last year). Churn was up, to 1.4% per month, from 1.3% last year
However, CEO Tom Rogers said a deal with Comcast, already announced, will see these losses reversed as TiVo spreads its offering to ‘basic’ cable as well as Premium bundles.
Last year TiVo was awarded $105m, in its long-running litigation with EchoStar (and still unpaid).