Saturday, March 27, 2010

Tivo



The best gift I ever received was a tivo. It was given to me years ago and I was an instant fan. Soon afterwards DVRs started popping up essentially stealing tivo technology and violating their patents.

It has long been my belieft that this theft of intellectual property has had an adverse effect on tivo's stock prices and for years the stocks have been in the cellar>>>see link http://www.google.com/finance?chdnp=1&chdd=1&chds=1&chdv=1&chvs=maximized&chdeh=0&chfdeh=0&chdet=1269720087484&chddm=999396&chls=IntervalBasedLine&q=NASDAQ:TIVO&ntsp=0
The main thieves of their technology is Dishnetwork and Echostar and tivo has been in court many times with them. This week tivo won another victory against Dishnetwork and stand to win up to 300 million dollars>>http://online.wsj.com/article/BT-CO-20100305-709285.html. The impact for Dishnetwork is enormous, because they have 30 days to negotiate with Tivo on a possible settlement and up to 14million of their dvrs could be shutdown if negotiations don't go well.

I being a huge tivo fan am celebrating this victory, not as much if I was an investor. The next day after the ruling stock prices went up 61%.

Some questions for myself. Are Tivo's Patent Lawyers fixed cost, or variable cost and why don't they sue cable providers with the same technology? Tivo's Patent Lawyers are worth their weight in gold lately and they have lawsuits against AT&T and Verizon.

Go get them tivo, way to have an inelalastic product.

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