TiVo's Stock Soaring on Echo Victory
posted on
Jan 28, 2009 01:30PM
TiVo's Stock Soaring On Echo Victory
The DVR service wins its patent infringement case against EchoStar.
By Swanni
Washington, D.C. (January 31, 2008) -- TiVo's stock has jumped as much as 30 percent today following an appeal court ruling upholding its DVR patent judgment against EchoStar.
TiVo sued EchoStar in 2004, saying the satcaster violated its 'Time Warp' patent for a DVR software feature.
The Time Warp feature allows "the user to store selected television broadcast programs while the user is simultaneously watching or reviewing another program," according to TiVo's patent which was filed for almost 10 years ago.
A Texas jury decided in favor of TiVo in April 2006, awarding the company $73.9 million in damages. However, the case has been bogged down in appeals since then.
It appears that EchoStar's legal options have now been exhausted. If so, the satcaster would either have to pay TiVo the $73 million in damages or work out a licensing agreement with the company.
Today's decision also could strength TiVo's hand in negotiating licensing deals with other TV providers.
TiVo earlier today also announced a research agreement with CBS. The company said CBS would use its company's DVR data "to better keep audience attention during commercial breaks, and develop new and improved promotional strategies for time-shifted viewers to build audiences for its programs."
NBC signed a similar research deal with TiVo last November.