Post by dkennedy on Mar 9, 2006 6:35:00 GMT -5
TiVo Simplifies Pricing
March 8, 2006
Multichannel News Release
TiVo Inc. announced simplified pricing plans that will enable consumers to bundle the purchase of their 80-hour “TiVo Series2” digital-video-recorders and the service itself.
The vendor said the pricing system is based on commitments of one, two or three years, and there will no longer be separate prices for the DVR units and the service.
Under the new plan, the price for a TiVo box and a one-year service commitment is $19.95 per month, or $224 prepaid. The monthly cost drops to $18.95 for two years ($369 prepaid) and to $16.95 for three years ($469 prepaid).
Early cancellation fees will apply if service is terminated prior to the end of the chosen period. And in the case of prepaid subscriptions, no refunds will be offered upon early termination.
TiVo said its research found that customers were “overwhelmingly favorable to the bundling together of the TiVo unit and TiVo service.”
The DVR vendor also reported its fourth-quarter and full-year results for its fiscal year ended Jan. 31.
As of that date, TiVo reported approximately 4.4 million total subscriptions, up 45% compared with the year-ago total. Full-year service and technology revenues were $170.9 million, up 48% from $115.5 million in the prior year. The company’s net loss was $34.4 million, or $0.41 per share, versus $79.8 million ($0.99) in the previous fiscal year.
During its fiscal fourth quarter, service and technology revenues were up 37% to $47 million from $34.2 million in the year-ago period. TiVo’s quarterly net loss was $19.5 million, or $0.23 per share, compared with $33.7 million ($0.42) in the previous-year period.
TiVo-owned subscription gross additions were 221,000 for the quarter versus 276,000 in the year-earlier quarter. And the company added 173,000 DirecTV Inc. subscriptions during the quarter, down sharply from 379,000 in the third quarter of fiscal-year 2006.
March 8, 2006
Multichannel News Release
TiVo Inc. announced simplified pricing plans that will enable consumers to bundle the purchase of their 80-hour “TiVo Series2” digital-video-recorders and the service itself.
The vendor said the pricing system is based on commitments of one, two or three years, and there will no longer be separate prices for the DVR units and the service.
Under the new plan, the price for a TiVo box and a one-year service commitment is $19.95 per month, or $224 prepaid. The monthly cost drops to $18.95 for two years ($369 prepaid) and to $16.95 for three years ($469 prepaid).
Early cancellation fees will apply if service is terminated prior to the end of the chosen period. And in the case of prepaid subscriptions, no refunds will be offered upon early termination.
TiVo said its research found that customers were “overwhelmingly favorable to the bundling together of the TiVo unit and TiVo service.”
The DVR vendor also reported its fourth-quarter and full-year results for its fiscal year ended Jan. 31.
As of that date, TiVo reported approximately 4.4 million total subscriptions, up 45% compared with the year-ago total. Full-year service and technology revenues were $170.9 million, up 48% from $115.5 million in the prior year. The company’s net loss was $34.4 million, or $0.41 per share, versus $79.8 million ($0.99) in the previous fiscal year.
During its fiscal fourth quarter, service and technology revenues were up 37% to $47 million from $34.2 million in the year-ago period. TiVo’s quarterly net loss was $19.5 million, or $0.23 per share, compared with $33.7 million ($0.42) in the previous-year period.
TiVo-owned subscription gross additions were 221,000 for the quarter versus 276,000 in the year-earlier quarter. And the company added 173,000 DirecTV Inc. subscriptions during the quarter, down sharply from 379,000 in the third quarter of fiscal-year 2006.
