Is there still an opportunity for TiVo?

I used to watch TiVo.

There's actually a double-meaning there. As a consumer, I loved my TiVo box and the TV-viewing flexibility that it introduced to my household. As a journalist, I watched the company, as well. No contest: I liked the service far more than I liked the company. Today, I no longer watch TiVo - the set-top box. It's been replaced by DirecTV's own generic DVR that I really hated when I first plugged it in but am now starting to get used to. But I'm still keeping an eye on the company. And I still don't care for what I see.

In this video, which I recorded last week, I talked about the steps that I think TiVo needs to take. Alas, there's news this week that TiVo has re-partnered with DirecTV for a High-Def DVR in the second half of 2009. Better late than never? Hard to say. That's another 9+ months that I - as a consumer - will have with my DirecTV DVR. I'll have to ask myself then whether it's worth paying more for a new TiVo-DVR. After all, I'm starting to get used to the generic model. Don't get me wrong. This is a good step for TiVo - though I was a bit disappointed to read that the company will continue to sell its own boxes and subscriptions and compete against the very company (DirecTV, in this case) that could help TiVo's technology grow by leaps and bounds. It's already happened once. The previous deal with DirecTV helped TiVo, the company.

As I say in the video, dump the strategy that focuses on set-top boxes and subscriptions and instead go after licensing deals that puts the technology in front of the mainstream audiences who will fall in love with it - consumers such as those on DirecTV subscriber list. TiVo - the technology - is top-notch. TiVo, the company, is not so good, however, at selling boxes and subscriptions. Until it realizes that, we'll continue to see poor financial results.

Yes, TiVo was profitable last quarter - but the outlook for next quarter indicates a wider-than-expected loss.