TiVo to Drop Lifetime Service Plan
Thomas Hawk writes "TiVo held their most recent analyst conference call today and on the call announced that they will be dropping their lifetime subscription option as well as offering three new monthly no upfront fee TiVo plans combining their box and service for one year, two year and three year commitments. Additionally they announced that their highly anticipated Series 3 HDTV standalone model with CableCARD support will not be available until after "mid year," a new retail partnership with Radio Shack and the fact that the company is in solid discussions with other cable operators for deals similar to their previously announced Comcast initiative."
Now that they're cutting back on services and making it more difficult to avoid commercials, surely there must be a better service out there...
Is there?
MythTV (www.mythtv.org) is looking better and better.
Oh dear. I love my (series 1 UK) Tivo but I knew they'd been struggling. Didn't realise it was this bad.
If TiVo doesn't offer lifetife subscriptions anymore, then it might just suggest that they won't be around for anyone's lifetime. The fact that they are partnering up with a retail chain on its last legs, RadioShack, doesn't bode well for its future. It's a pity to see such an inventive company put its survival into doubt.
Still, the lack of the new model until mid-year doesn't bother me much. Existing models already due everything a user could want, the Series 2 records your shows. For 40 hours. What more could you want? Although there have been some issues with build quality (see some of the reviews on the Amazon listing) that hopefully will be fixed in the next generation.
"Web domains in Kibonia (.KB) are available for only fifteen schwas a year. They can be reserved forever, provided that payment of fifteen schwas per year is received in advance."
The more I read about the emasculation of various service plans and firmware pieces in the PVR space, the more my lifetime subscription to SonicBlue and my commercial-crushing early-model RTV4504 begin to look like Sacred Lost Crystal Technology from Ancient Atlantis.
Eventually something will break that I can't fix, or some double-A agency will wise up to the fact that I haven't seen a spot break in seven or eight years, and I'll have to bite the MythTV bullet, but until then, *I* control the Vertical and the Horizontal...
Do you know what a TiVo even does? It's a device that records your preferred television programming for later use so that you can watch after you are finished socializing, going outside, etc.
they will be dropping their lifetime subscription option
Will they just stop offering it and honor existing owners, or do they plan to force everyone to downgrade to a monthly subscription model? And does this include their free "basic" service?
If the latter, and it includes their free basic service, they can expect one hell of a class-action from folks like me who bought an OEM TiVo box (as opposed to rolling their own Myth box) only because of the free lifetime basic service.
Heh... From the article, "According to Rogers, with TiVo's higher monthly fees and one year lock in they have increased the lifetime value of a TiVo customer by over $100."
Do they really want to say things like that in public? It might sound optimistic and fluffy, but just means "we will milk an extra hundred bucks from suckers who use TiVo every 2-3 years". Not the best PR material...
Well... at least I'll get a hell of a lot of money for my TiVo with lifetime sub on ebay.
Remember lifetime sub was for the lifetime of the unit, not your lifetime.
Also. The only thing that has changed is that they have dropped Lifetime subs and added more subscription options.
You'll still be able to go to a store and buy a unit, and get a service only subsription for $12 and change. You'll also be able to buy a second service only subscription and get the multi-service discount of $6 and change on the additional units.
The change is that if you don't want to eat the cost of a unit upfront, there are news subscription options where the cost is amortized for a couple of years.
Imagine what the world would be like if everyone on this planet could not watch TV/movies/internet for a year.
Well, for one thing, it would mean I would go for 12 months without having to be exposed to snide, supercilious and off-topic holier-than-thou commentary like yours on topics you clearly do not understand.
Where do I sign up?
People would be bored? They'd get their deck of cards and play solitaire? They'd become asses who go around criticizing other people's entertainment choices?
Everytime there's a TV related story, people like you feel the need to say how much better off we would all be if we didn't watch TV. People who watch TV almost exclusively as their entertainment wouldn't suddenly want to become productive if they didn't have TV. They'd find something else equally unproductive.
There may be other options out there for entertainment, but we're not talking about them, are we? We're talking about TiVO dropping their lifetime subscription.
Warning: Opinions known to be heavily biased.
TiVo is actually very smart to offer the new "no money down" plans - that's the #1 complaint I hear from people as to why they don't buy a TiVo; many people do not like buying a product and THEN paying a monthly fee. Conversely, most people thought the idea of paying an additional $300 for something, even if it meant no monthly fees ever, was ridiculous as well - they just couldn't wrap their heads around it.
TiVo does exactly what I need it to do, which is why I have one. PC-based soloutions are at best clunky, and I have an elegant little box in my living room that does it all for me. I transfer shows back and forth from my TiVo to my PC when I want to archive them, and burn them to DVD when I wish.
The biggest complaint about SD TiVo's is that you can't record two programs at once; that's why many people have two TiVo's. Personally, I live very well with that limitation - there is only so much TV one can watch in a day, week, or lifetime and having to make some choices keeps me from getting OD'd on too much unlimited choice. Sure, choice is almost 100% better in any instance, but here I actually like that I personally have to make a choice between some programs (and the DVD recorder is always there if I really, really have a conflict).
DVR's so completely change how you think about your time, especially in relation to TV (obviously) - but I've used some of the "other" ones and nothing does it for me like a TiVo. Simple, elegant, and it does everything I want. I'm also a monthly subscriber, like the vast majority of TiVo owners, so the removal of the program isn't even going to be a blip on most of our radars.
Boy if a partnership with "You've got question, we got blank stares" formerly run by someone who lied about his degree doesn't get the investors excited, I don't know what will!
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Then later in the Q&A portion:
So it sounds like lifetime for current models could possibly continue to be available at retail (though I can't say I've heard of a retail outlet offering a lifetime priced bundle), and the next gen HD is still yet to be determined.
Not horse pucky. Of course I include the cost of the PC - I'm not using my MythTV box to do anything other than hook up to the television. Sure, I'm doing more than a TiVo can do, but it's still not my general-purpose computer. You can't remove the cost of all the hardware you need.
You are right, though - a machine comparable to a TiVo can be built for money comparable to what you'd spend on a TiVo. I don't know too many folks who build MythTV machines that are comparable to a TiVo though. The 80 gigabyte harddrive is never enough, the single tuner is rather paltry, etc. So, I suppose I should have been more clear - most MythTV users will spend more on their machine than if they bought a TiVo, but they also have about five times the capacity and much more expandability and more features and no DRM. Better?
Illegitimi non carborundum
The first Tivo I used was bought with a lifetime subscription in 1999, one of the original Philips models. It's since needed a replacement hard drive (at which point the original owner gave the box to me and upgraded to a newer model), and the modem port blew up (switched to the serial port and ultimately a TivoNet card); with those repairs it's still running fine. As of right now that puts this one at around $2.75/month for its lifetime.
The payback period for the lifetime subscription has been between 2 and 3 years of product use, well within the expected lifetime of the box. Even in the rare case where the Tivo fails before then, it usually adds something to the salvage value of the unit if sold on ebay. As such, I have advised everyone who purchases a Tivo that they should consider the lifetime subscription part of the purchase price of the unit, and to look at it as a 3 year purchase--after which they would normally expect another couple of years worth of free service before the hard drive fails and they need to spend more money.
Now I'm going to have to tell them something else altogether, as Tivo has just priced itself out of the market. Looks like it's time to get familiar with my local cable provider's DVR box.
TiVo is in a lot of financial trouble, looking at its key statistics: http://finance.yahoo.com/q/ks?s=TIVO
The company has negative earnings per share and its profit margin is almost -25%! Almost 15% of the companies shares on the market are shorted. Thats crazy!
I think that dropping the Lifetime Service Plan is a desperate gimmick to get more revenue. It might work, but who knows.
However, I don't think computer based PVRs are going to make a dent in the market...they are too complicated. Adding a card into a computer is too complicated for Joe Schmo. Watching TV on a computer screen is an alien concept to most people. A friend who was over last night thought that watching TV on my PVR-350 was 'interesting'. "You do realize that this is really weird, right?" she said, "I'm not sure if I really liked the experience." But the idea of not having a monthly fee for TiVo intreaged her.
But...I think that computer based PVRs will make a huge dent in the tech savvy market...because it is flexable...and for now...DRM free.
All this weeping and gnashing of teeth about Tivo reducing functionality...I haven't noticed any of it. I use it for basic functions...I setup season passes, it records everything I tell it too, nearly flawlessly, and I can skip commercials. I tried the PC based solution, and it was just too much hassle. Bizzare unsolvable video/audio synch issues, keeping the tv schedule/guide stuff uptodate and trouble free...driver conflicts, manual software updates...I might have saved some cash, but the amount of my very valuable time wasted trying to get it to work made it useless in my opinion. Alot of us here are geeks, and I work all day solving technology based problems...when i get home and want to relax and veg on the couch for a bit, the last thing I want to do is figure out why something I wanted recorded isn't there or is borked up. I love Tivo, because its easy to use and reliable.