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Slate Predicts The End Of TiVo

wiredog writes "Slate has an article about why TiVo (the company, not the idea) is destined to fail. It suffers from the same first mover disadvantage that did in the Newton and the Amiga."

34 of 514 comments (clear)

  1. TiVo has name recognition by supun · · Score: 4, Insightful

    People have started saying, "I'll just TiVo the show." The name TiVo is directy connected to it's function. Right now, I don't know any other company that does what they do. When I go to a Best Buy, Circuit City, etc. looking for a device to digitally record TV show, I'm going to go look for "TiVo".

    --
    :w!
  2. Too Complicated? by SimplyCosmic · · Score: 5, Interesting
    From the story:

    And compared with a VCR or DVD player, a TiVo is difficult to set up and maintain.
    ...
    When a British media consultancy recently distributed some TiVos, 30 percent of the recipient households "never really got to grips with them"--or, in other words, they preferred to let the pricey boxes gather dust rather than waste another second figuring out the labyrinthine menus.


    I suspect that those same families still have their clocks flashing 12:00AM and do little more than read email on their P4 2GHz computers.

    You're always going to have people who simply aren't going to make use of technology due to phobia.

    However, the opposite side to their figures is that 70% of the people given TiVos ARE using it.

    And I honestly can say that once you teach someone initially how to navigate through the menus, having the TiVo automatically catch your favorite shows whenever they're on, despite most schedule changes, is far easier than the hassles of putting in new tapes all the time and manually programming a change in a particular week's showtime.
    1. Re:Too Complicated? by mstra · · Score: 5, Funny

      I suspect that those same families still have their clocks flashing 12:00AM...

      Well, my VCR keeps flashing 12:00, but that's because I have no reason to set it anymore, since I've got a TiVo :)

      m.

      --
      Photography, technology, and my dog Scout - http://mattstratton.com
  3. When I bought my Tivo 2.5 years ago.. by Frank+of+Earth · · Score: 5, Informative

    .. I signed up for the yearly subscription thinking that I probably wouldn't use it for more than a year so why pay 200 bucks for a lifetime membership.

    Well, over two years later and I'm still loving my Tivo. I use it more than any other AV component I own and I couldn't imagine not having it.

    The devotee will even use TiVo as a verb
    You can't buy that kinda of brand name recognition. ie q-tip, xerox

    And compared with a VCR or DVD player, a TiVo is difficult to set up and maintain

    Difficult to setup is accurate, but I'm not sure what is hard to maintain. All you have to do is watch TV shows and click on delete if you don't like them. Hit Thumbs up to stuff you like and thumbs down to stuff you don't. Not generalizing women, but my wife, who isn't that computer saavy has already learned how to bump her Season Passes over mine. I don't think it's difficult at all.

    If TiVo does fall by the wayside, it will leave behind a throng of adoring fans

    *sniff*

    1. Re:When I bought my Tivo 2.5 years ago.. by Foosinho · · Score: 5, Funny
      my wife, who isn't that computer saavy has already learned how to bump her Season Passes over mine.


      I hope mine never figures that out, or I'll never get to watch Enterprise - I'll be punished with a TiVo full of Ed, Friends, and Anna Nicole. The horror!
  4. Commodore / Amiga not a valid comparison by Tassach · · Score: 5, Interesting

    The Amiga failed in the marketplace not because they were the first mover, as the article suggests, but because the management at Commodore was hopelessly inept and corrupt. Instead of spending money marketing the Amiga and creating markets for them, they instead blew hundreds of millions of dollars on executive perks like private jets and company yaghts, not to mention obscene bonuses and stock option deals. It's failing had far more to do with Enron-style executive hubris than it ever did with market forces.

    --
    Why is it that the proponents of "one nation under God" are so eager to get rid of "liberty and justice for all"?
    1. Re:Commodore / Amiga not a valid comparison by Rantastic · · Score: 4, Informative
      Add to that the fact that the author seems to have no clue as to the history of the Amiga. It wasn't Comodore's vision at all. It was the vision of Amiga, Inc. Comodore bought the Amiga only after the company was cash strapped and hurting. Then they marketed it into the ground.

      Giving the impression that Comodore had some grand vision is taking credit away from the true visionaries at Amiga. Also, they didn't design it to be a video editing machine. That was the contribution of a third party company, and came much later.

      Nice to see how well researched Slate articles are.

      --
      Ask Slashdot: Where bad ideas meet poor googling skills.
  5. DirecTV/TiVo by clutch110 · · Score: 5, Informative

    I just received a notice that DirecTV will be taking over the TiVo service for my unit. They also mentioned that the graphics will change on the interface, but none of the functionality. Does anyone know more about this?

    Also to get a cheap DirecTV/TiVo unit, hit www.americansatellite.com and if you are a new subscriber they have the Phillips unit for $150. I bought mine about 7 months ago at $99. This included the unit, the dish and two installation kits.

    1. Re:DirecTV/TiVo by RedX · · Score: 5, Informative
      I just received a notice that DirecTV will be taking over the TiVo service for my unit. They also mentioned that the graphics will change on the interface, but none of the functionality. Does anyone know more about this?

      Yes, this is true. DirecTV is going to be handling all of the billing for the combo DirecTiVo boxes, and the graphical changes you mention will basically remove the TiVo name and logo from the menus. The good news is that DirecTV will be charging less for the TiVo service now, $4.99/month as opposed to $9.99/month. DirecTV has essentially licensed the TiVo software and service, which is how TiVo hopes to make money from here on and has been their plan on how to do business once they had a somewhat established base market.
      There are many posts above saying that TiVo will die because cable companies, etc. will offer their own product. TiVo's hope is that the cable companies will license the TiVo software and service for their set-top boxes.

  6. A few points I'd argue with... by AtariDatacenter · · Score: 4, Insightful

    I don't think the Commodore 64/Amiga analogy is quite accurate. Somewhat of a slam (apologies), but the Commodore 64 was a very successful product, even by the article's own numbers. 22,000,000 units sold, versus 500,000 TiVos. While Amiga failed on the heel of a successful product, you can't say "Look! TiVo's going to fail! They're trying to make a followup to a successful product! Look at the Commodore 64!"

    Okay, I agree a bit in that the TiVo is difficult to extoll the virtues of (in a small number of words), perhaps in the same way as an Amiga. We (consumers) don't have the vocabulary to describe what TiVo does, and that really really has hurt TiVo. Most people just don't get their mind completely wrapped around the product. "Oh. That's the thing that pauses live TV?" "Yeah. Isn't that some kind of television set?"

    Perhaps TiVo is more Jack Tramiel than Commodore/Amiga. Jack though that word-of-mouth would carry him through. So much for the Atari home computer division! TiVo needs to educate people on its product.

    About the difficult of install? I'd think the learning curve for America Online would be as difficult as a TiVo. But that's its greatest blessing and its greatest bane. It is a very different device.

    Probably the best into line I can say when describing a TiVo is the effect: "It completely changes the way you view television at home, and for the better."

    Really, in reading this article, I really don't see how they go about providing their title, that it is destined for the trash heap of history. While that might be true, they don't get into any real fact. Just neat stories.

  7. Re:XBox? by dildatron · · Score: 5, Insightful

    The only thing that keeps my from buying a TiVo is the reoccuring fees. I understand that it is how they make money, but I just don't want or need another monthly bill to continually drain my income. If I just had to buy the device and that was it, I would buy one in a second.

    Of course, I don't watch a lot of TV (more of a movie guy), and when I usually do it's usually the history channel or the learning channel. I guess it just isn't important enough in my case to make the jump from progrogrammable VCR to Tivo.

    --


    If you had nuts on your chin, would they be chin nuts?
  8. Lame.. by Sc00ter · · Score: 4, Insightful
    First off, compairing a DVD-R to a TiVo is stupid. It's like compairing a VCR to a TiVo, they're not even close to the same thing. Perhaps when DVD-Rs start getting "season passes" and suggestions there might be some kind of compairison but you still have to change disks.

    The examples they give would be the same for any PVR, not just TiVo, this includes ReplayTV and XBox2. And a TiVo is really not that hard to use. My mom that has a hard time with email can use my TiVo with no problem. They'll be more scared of a DVD-R because they won't want to waste a blank DVD (yes, even if it's rewritable).

  9. Re:Yeah, they will fail by HeyBob! · · Score: 5, Informative

    Ford didn't invented the car and GE and Bell weren't the first in their businesses either, but like they say: "History is written by the winners..."

  10. GameBoy, We Hardly Knew Ye by Bill+Kendrick · · Score: 5, Funny

    Sorry GameBoy, but the Atari Lynx, Sega GameGear, Sega Nomad and TurboGrafix16 are throwing you into the ash heap of history.

    Oh wait!

  11. I'll believe it by tezzery · · Score: 4, Funny

    when i see it.. nice try Microsoft.. how come they can predict the end of Tivo.. yet never saw the end of webTV, ultimateTV, and possibly the ?Xbox?.. Let's believe them for a second.. All Tivo has to do is roll out a less expensive unit ($150-$200 price range) and keep up with the times (how about an hdtv-compatible tivo in the coming years).. I think there's a good possibility that Tivo's will be around for a while..

  12. up front by cheezus · · Score: 5, Informative

    you can get the box w/ a lifetime subscription for $250 more.

    It's a lot up front, and I think they offer monthly for the sake of people who would rather buy a $400 box than a $650 one.

    But as a happy TiVo subscriber, let me tell you this:

    I would play twice the current $13/month for the TiVo service. It really is worth it!

    --
    /bin/fortune | slashdotsig.sh
    1. Re:up front by aaarrrgggh · · Score: 5, Informative

      Actually, it's lifetime of the box, or lifetime of the company... whichever is shorter! It isn't hard to imagine either of those being close to two years.

    2. Re:up front by Casca · · Score: 5, Insightful

      For anyone out there that watches TV more than 1 hour per week. Get a TIVO or a Replay TV. They are so worth it. It will forever change your viewing habits (for the better), you will never look back. My wife is pretty close to being a technophobe, but she absolutely loves our ReplayTV. Its easy to use, there is always something on that she wants to watch now.

      The only downside to having one is that you completely lose track of when stuff is on. Makes it a little hard to participate in the watercooler discussions about certain shows. Not a big deal, but it does happen.

      I personally really enjoy sitting down and watch 2 or 3 episodes of the same show in a row. Plus, pausing live TV is about the most useful feature for the parent of a small child that I could imagine.

      Anyway, buy one, you won't regret it.

      No, I don't work for TIVO or ReplayTV or any other company along those lines.

      --
      Casca
    3. Re:up front by dildatron · · Score: 5, Funny

      must.....not.....listenn...... must....not...buy....wanted.....gadget..... must.....not.....listen...

      --


      If you had nuts on your chin, would they be chin nuts?
    4. Re:up front by Zathrus · · Score: 5, Informative

      Lifetime of the unit, not of the company, not of you.

      The subscription moves with the unit, not with you. If you buy a TiVo, get a lifetime sub on it, and sell it then you sell the subscription with it. Of course, TiVo's with lifetime subs sell for about $250 more than one without, so currently there's no money lost.

      The obvious downside is that you can't transfer to a different kind of TiVo. If you have cable now, buy a regular TiVo, and then later get DirecTV you can't transfer the subscription to a new DirecTiVo. Or if they come out with a HDTiVo in the future (no, they haven't even speculated on doing such) then you're still stuck with the old one.

      I don't know that this is a hard and fast rule though. There are a few select TiVo subscribers that fell into a grandfather clause where they can transfer their subscription once. They bought lifetime subs prior to the wording being more clear on the matter.

      As far as worrying about the TiVo unit failing -- I haven't heard much hue and cry about faulty machines. The modem in them sucks and dies to even a vague hint of lightning (one of mine has died twice, both times requiring $99 to fix), but there are 3rd parties that will repair them now and a surge protector helps a great deal. The hard drives are replaceable. The fan is the only other moving part, and theoretically replaceable.

    5. Re:up front by Evangelion · · Score: 5, Funny

      T.V. sucks ass. How can you people stand to watch that kind of banal, mundane completely insipid mind numbing garbage?

      You're talking to people reading slashdot comments.

  13. One critical flaw ... by SuperRob · · Score: 5, Insightful

    Slate made a pretty big mistake in their analysis of why TiVo is going to fail. They mostly chalk it up to that "first mover" disadvantage that kills good products.

    Only, TiVo wasn't the first mover. Panasonic was with the Showstopper ... which is now dead.

    Some of the other tidbits are accurate, such as TiVo's difficulty in explaining what a "PVR" is, but that would be true of ANY device in the market. However, they really aren't trying to compare it to a VCR. The ads have always touted features VCRs just don't have, like the "Trick Play" features that come with having a Live TV "buffer".

    There's also one other thing that they neglect to mention (probably because it didn't fit in the author's view), when they mention that other machines will have DVR capabilities too.

    TiVo SERVICE is what makes the PVR so popular with TiVo customers. The hardware is all fine and dandy, but it's that software that is easy to use, and the features in it that make it special. TiVo's "Season Passes" can follow programs around when they switch time slots on the same channel. No other competitior can do that, and it's a godsend!

    Regardless, TiVo is doing a lot of things right. They MAY go under, but it won't be for any other reason than the mass market just not being ready for it yet.

  14. Re:XBox? by Zaknafein500 · · Score: 5, Informative

    Get a DirecTiVo with DirecTV. Perfect picture quality, and the service is only 4.95 a month (vs the 12.95 for a standalone), or free if you have Total Choice Premier.

    --

    "The guide is definitive, reality is frequently inaccurate."
  15. Joe sixpack still has no idea what a TiVo is by lightspawn · · Score: 4, Insightful

    People who don't have a TiVo belong to at least one of these 3 groups:
    * Can't afford it
    * Don't know what it is
    * Don't watch TV.

    I believe the second group is by far the largest. To support TiVo, educate everybody you know about it. Hey, it's Linux based, it's really cool, and they actually perform - GASP, SHOCK! - usability testing.

  16. Not necessarilly by FreeUser · · Score: 5, Funny
    Read the fucking article and when your little troll eyes get to:

    The other 20 percent? Gaming consoles like Xbox 2 and the next generation of Sony PlayStations will likely include DVR technology

    You'll understand why this isn't a plug for MS, but an unbiased article on a site that just happens to be owned by MS.

    And when you grow up and stop assuming everyone who is even mildly critical of your employer^H^H^H^H^H^H favorite software vendor isn't necessarilly a troll, perhaps you'll be able to ponder larger pictures and marketing strategies that go beyond a particlar brand item v. another to encompass an attempt at taking over an entire market v. another.

    Hint: Microsoft's push toward DRM and Palladium has a lot more to gain by taking over the TiVo market than it does by taking over the playstation market. Why? Tivo is based upon open, non-DRM hardware and an open, GPLed operating system, while playstation is itself a proprietary player and, while it is a competitor, it does not stand in the way of Microsoft's DRM and Palladium strategies, despite having a GNU/Linux kit available for hobbiests. TiVo, on the other hand, as a widely adopted PVR that does use standard PC parts and a free operating system, does represent not only a potential barrier to Microsoft's DRM-and-Palladium-Ueber-Alles strategy, it has two other factors which the PS lacks:

    1) Potentially a much larger marketplace than PS (nearly every household has a VCR, while many fewer have game consoles of any kind)

    2) A legitimate competitor to whome consumers will flock if given a choice between that and a DRM/Palladium crippled alternative.

    Many informed people believe the X-Box may well be a Palladium trial balloon and a test bed for emerging Microsoft DRM technology. If true, its use and penetration of the game console market is incidental compared to those qualities and the value they represent to Microsoft, and in that light it becomes clear that TiVo is a much more potent threat to Microsoft's plans than the playstation is likely to ever become. In which case, throwing a bone to the PS in an attempt to appear "neutral" (which is hardly likely of a Microsoft publication, any more than Linux Weekly is neutral when it posts a link to a pro-Linux article. Even more telling, this article was written by a Microsoft author, not merely linked to by a Microsoft site) costs them nothing in the persuit of their larger strategy.
    --
    The Future of Human Evolution: Autonomy
  17. Untapped Potential by 4of12 · · Score: 4, Insightful

    Doncha just hate to see good sound products have to struggle slowly up the market acceptance curve while various cruddy products get to be a lot more ubiquitous than they deserve? I do.

    I own 2 TiVo's that I've upgraded so combined they hold about one third of terabyte of disk space. I love `em. My wife loves `em. I didn't mind shelling out the $500 for 2 lifetime subscriptions. I find the interface simple and intuitive. There are only minor inconveniences, like the plus and minus few minute automatic buffers on the ends of shows colliding in an non-intelligent way when shows on the same channel and type (eg, marathon sessions of back to back episodes).

    I think you find astounding satisfaction with TiVo's from their owners.

    At the same time, people outside the geek community are generally unaware of the entire concept of digital PVR and have never heard of a TiVo.

    Word of mouth advertising is precious, but slow. It will be really interesting to see if TiVo gets enough growth in its customer base to bring it into profitability or (more likely) to where it gets bought out by some M&A hungry firm and the techy founders can retire wealthy and stop worrying about important but boring business issues. They desperately lack a big general advertising push. OTOH, one of the big selling points, speeding through commercials at 20x or 60x seems like it might raise a few eyebrows in the same advertising community!

    I'm curious if TiVo's growth rate is increasing, whether there is any acceleration in TiVo's market.

    --
    "Provided by the management for your protection."
  18. Thank you Microsoft by KFury · · Score: 5, Interesting

    Last year TiVo spent almost nothing on advertising, and it's interesting why:

    It turns out that MS was pumping millions into Ultimate TV advertising, and enthused customers were flocking to Circuit City and Good Guys, only to be told that they'd have to also get a satellite dish and service, regardless of what they already had.

    Seeing their frustration, salespeople show them the TiVo, which works with whatever service they already have. Every dollar spent by Microsoft generated more TiVo revenue than UTV revenue...

  19. A lot of posts miss the point by astrashe · · Score: 5, Interesting

    The point isn't that PVR will fail -- just that the long term prognistics for this company aren't good.

    I bought a PVR card for a pc. It sucks, the software is no good. But the card was $50. There's no reason why the software couldn't be good -- it just isn't. There are 3rd party apps that tie into tv listings just like TiVo does.

    TiVo is nice, and they make it work, but you pay an awful lot for the storage space. TiVo is vulnerable to pressure from the big media companies, too, in a way that other solutions won't be. And I have to say that it's very nice to be able to record to Divx files that can be saved or shared.

  20. Great article by hbean · · Score: 4, Funny

    I particularly liked the ad for a tivo i got at the bottom of a page predicting tivo's demise.

    --
    "Give someone a program, frustrate them for a day... Teach someone to program, frustrate them for a lifetime."
  21. TiVo won't die -- but it should. by davinciII · · Score: 4, Interesting

    OK, maybe I'm a little biased. I was a happy TiVo owner for almost a year -- until the modem broked. TiVo only offered a 60 or 90 day warranty, so I would have had to send them the box, wait a few weeks, and pay them at least $99 to repair it.

    So I bought an Ultimate TV. Since MSFT was shutting down the division, you could get them for $99 including the dish and installation.

    Plus, with the UltimateTV, I can record 2 shows at once, in original quality(including Dolby Digital).

    The reason I say it should die is their service policy. The failing modem is an extremely common problem with the units (just read any TiVo board), and they fail to recognize it.

    TiVo has a far superior and faster interface. Their service releases give great new and timesaving features, and they listen to user feedback and do usability. If it weren't for their lousy service, I would be their biggest advocate.

  22. TiVo will fail by Rantastic · · Score: 5, Insightful

    TiVo will fail because most people cannot understand what it it.

    Most people fail to understand that what they see on the TV screen does not control what their VCR records.

    Most people do not understand that when they dial the phone, a bunch of computers are digitizing their voice and routing it around, converting back to sound, and playing to the person they called.

    Most people do not understand why the refridgerator gets cold inside.

    Most people do not understand that modern "Analog" clocks are also digital.

    Most people have no idea how a thermus knows when to stay hot and when to stay cold.

    Most people in places where snow is uncommon do not understand that it makes the roads slick.

    Most people pay for expensive water when it is free at water fountains everywhere.

    Most people do not understand that the Coke in the can costs less then the can itself.

    Most people don't understand what is wrong with Microsoft software.

    Most people don't understand the difference between a surge protector and an outlet strip.

    Most people (in the USA) don't vote.

    Most people don't understand that silica is not edible.

    Most people don't understand that they should not touch hot surfaces.

    Most people don't understand that coffee is served hot, unless the word "iced" appears in front of it.

    Most people don't understand the game of chess.

    --
    Ask Slashdot: Where bad ideas meet poor googling skills.
  23. Me Three by SiliconEntity · · Score: 5, Insightful

    I've had TiVo for almost three years, and it's crazy to compare it to a VCR. They are nothing alike, the quantitative difference between what they can do is so great that it becomes qualitative.

    With TiVo, TV is no longer a time-oriented medium. You don't watch shows when they're on, you watch them when you want to. The only way time matters is that a new show is only available on or after a certain time. It's more like a webcast, or a magazine-type site like The Onion. You're not required to sit there in front of your computer at 6 AM Monday every week to watch the new update of The Onion. You can watch it any time you want, it's just that you know a new one is available on a regular basis. All of TV is that way once you have TiVo.

    Of course TiVo isn't the only way to get this. You can use Replay, or Microsoft's new box, or with a lot more effort you can set up a computer to do it. Any of these will give you those improvements.

    But whatever you do, don't make the mistake of thinking it's a VCR. It's not, it's a device that turns TV into something that's more like a subset of the web, in that you have instant access to many, many hours of content, whatever has been updated since you viewed it last.

  24. Re:PAY for Tivo?!!!!!! by Pii · · Score: 4, Informative
    30 Second Skip Code

    "Select" "Play" "Select" "3" "0" "Select"

    You'll hear three "Tivo Tones" letting you know that the command has been accepted. You can disable the feature by entering the same sequence.

    --
    For those that would die defending it, Freedom
    has a sweet taste that the protected will never know.
  25. Re:And? I think Slate has got it right... by Pii · · Score: 4, Insightful
    See Betamax, Newtown, Commodore, the Edsel, etc etc.

    See also Telephone, Television, Electricity... Just because a product is first to market (or in this case, defining a market) does not mean it is doomed to failure. If you look at the companies that have invested in Tivo, you see that they'll survive (even if that means they are simply acquired). They have a best-of-breed product, a regonizable brand, and the market that they have defined is set to explode.

    You've heard the song... 500 channels and there's nothing on.

    Really, the problem isn't that there isn't anything on. The problem is that there's so much on, that it becomes increasingly impossible to filter the noise, and find that which is truly appealing to you, the viewer.

    Tivo makes this possible. You don't tell it what time you want to record something. You tell it what show to record, regardless of when it is on. You tell it what genres you like, what actors you prefer, what directors meet your expectations. It does the rest.

    You can not appreciate how this device will transform your relationship with television. It makes television useful, and entertaining, and it does this by catering to you, as an individual, rather than by allowing a television network to pour some target demographics into the plot generation device so that the program hits all of the right population segments.

    I'm no longer "White males, 25 - 35, with a household income between X and Y."

    Since I got Tivo, now I'm just me, and I watch the shows that appeal to me, and I watch them when my schedule allows me to.

    --
    For those that would die defending it, Freedom
    has a sweet taste that the protected will never know.