TiVo looks to regain competitive bite with price cuts

Probably flush with new confidence after a recent financial resurgence and dismissal of patent litigation, TiVo (Nasdaq: TIVO) has reduced the price on a number of DVR offerings, but typical of TiVo's complex relationship with cable TV operators, the moves have the potential to irk some of its partners.

Tivo Premiere browser

(Image source: Tivo)

Among the moves, TiVo announced that its TiVo DVR monthly service plans will drop from $19.99 to $14.99 with the signing of a one-year contract. Multiple DVR owners could see their fee lowered to $12.99 per month. The price decrease is seen as an effort to grow the company's TiVo-owned subscribers, customers who could be drawn away from existing service provider DVR offerings.

TiVo also is cutting some retail product prices, starting with a $50 drop to $249.99 on the two-tuner Premiere XL DVR. The company also said that its new four-tuner TiVo Premiere Elite rolling out this week, will be priced at $399.99, about $100 less than previously planned.

TiVo posted a net gain in subscribers for its most recent fiscal year, but continued the trend of losing its direct-from-retail, TiVo-owned subscribers. The price changes come after a slew of new deals with cable TV partners in recent months, including agreements with Charter Communications (Nasdaq: CHTR), Suddenlink Communications and RCN to carry the Premiere boxes, and a new video-on-demand deal with Comcast (Nasdaq: CMCSA).

The moves also come not long after after TiVo's years-long patent litigation battles with companies like Microsoft (Nasdaq: MSFT) and AT&T (NYSE: T) have ended. It appears the DVR pioneer that once looked doomed by cheaper service provider DVR offerings is back to calling all the shots.

For more:
-see this Multichannel News story

Related articles:
TiVo and Microsoft called off their patent dogs last week
Recent cable deployments have helped TiVo rebound

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