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News & Commentary
Dish Loses TiVo Case; Will Pay $104 Million
But satcaster says its current DVR are not in violation.
By Swanni
 
Washington, D.C. (October 6, 2008) -- Dish Network today said it would issue $104 million in damages to TiVo after the U.S. Supreme Court today refused to consider its appeal of a patent judgment.

TiVo sued Dish Network in 2004 for DVR patent infringement and a Texas jury in April 2006 found in TiVo's favor. The verdict has since been tied up in appeals court, but the satcaster says the Supreme Court's decision now ends the dispute.

"Because of the Supreme Court’s decision, we will pay TiVo approximately $104 million (the amount the jury awarded in 2006 plus interest). The money is in an escrow account and will be released to TiVo in the next few days," Dish said in a statement released today.

However, in a press statement, Dish maintained that its current DVRs are not in violation of TiVo's patents. The company says a software update has fixed the issue, although a court has yet to reaffirm that position.

TiVo has rejected Dish's contention that the satcaster's DVRs no longer violate its patent. Today's decision by the Supreme Court could spark a new legal battle or negotiations between the companies for licensing fees.


Commentary:
Okay, this has gone on long enough. Dish Network and TiVo should settle this thing once for and all. And the way to do that is for Dish to either pay TiVo a licensing fee for its DVR software -- or begin offering TiVo as a DVR alternative service, as DIRECTV plans to do next year. The latter makes more sense and probably will save Dish money in the long run. Dish subscribers could choose Dish's DVR service or TiVo's DVR service when signing up.

By now, it should be clear to even Dish's top executives that they are not going to win this battle in court -- and their contention that its current DVRs are not in patent violation will likely lose, too.

So just settle this thing, guys. Settle it now.

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Phillip Swann is president and publisher of TVPredictions.com. He has been quoted in dozens of publications and broadcast outlets, including CNN, Fox News, Inside Edition, The New York Times, The Washington Post, The Chicago Tribune, The Financial Times, The Associated Press and The Hollywood Reporter. He can be reached at swann@tvpredictions.com or at 703-505-3064.

Click TVPredictions.com to read more news and features on TV technology. 

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