According to a Reuters report, TiVo and DirecTV are teaming up to develop a new DVR. Shares of Tivo went up 32 cents a share this morning following the announcement. The two companies will extend their current partnership and have included in the agreement the development of a new high-definition DirecTV DVR with TiVo service.
The number of TiVo subscribers with DirecTV has been fading, according to the article. At the end of the second quarter TiVo had 3.6 million subscribers, with 1.7 million of those subscribers paying fees directly to the company. “This new deal should minimize the DTV attrition headwind TiVo has felt as DTV’s subs have moved to HD (where there is no TiVo offering today),” said Citigroup analyst Tony Wible.
TiVo was founded in 1997 and is currently headquartered in Alviso, California. Their digital video recorder product is in use in the United States, Canada and Australia. TiVo was also launched in the UK in 2000 but was replaced by BSkyB’s Sky.
