TiVo's Future Could Rest In Texas Courtroom
The TV tech industry is getting increasingly anxious over the ongoing DVR patent trial involving TiVo and satcaster EchoStar.
TiVo is suing EchoStar, saying it violated its patent for a feature that permits the recording of one show while watching another. Cable and satellite TV operators are nervous that, if TiVo wins, it could sue them for similar damages and/or demand future licensing fees. Analysts say that EchoStar could be forced to pay up to $100 million if it loses the case.
If TiVo wins, the situation, of course, is less clear than what some analysts are suggesting. As I understand it, TiVo's patent case against EchoStar would be weaker if filed against the other TV providers. In addition, the cable TV operators are contemplating the adoption of a new 'network DVR' that could render TiVo's patents all but obsolete. However, if successful in court, the cash award alone could keep TiVo afloat for some time. And there's no question that any company that wins a patent case has more leverage when it talks with prospective customers (and rivals).
TiVo is suing EchoStar, saying it violated its patent for a feature that permits the recording of one show while watching another. Cable and satellite TV operators are nervous that, if TiVo wins, it could sue them for similar damages and/or demand future licensing fees. Analysts say that EchoStar could be forced to pay up to $100 million if it loses the case.
If TiVo wins, the situation, of course, is less clear than what some analysts are suggesting. As I understand it, TiVo's patent case against EchoStar would be weaker if filed against the other TV providers. In addition, the cable TV operators are contemplating the adoption of a new 'network DVR' that could render TiVo's patents all but obsolete. However, if successful in court, the cash award alone could keep TiVo afloat for some time. And there's no question that any company that wins a patent case has more leverage when it talks with prospective customers (and rivals).
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