TiVo Wins $74m in Patent Lawsuit

14 April 2006

US digital video recorder pioneer TiVo has won $73.9 million (€61m; £42.1m) in damages from satellite operator EchoStar Communications in a patent infringement lawsuit [WAMN: 31-Mar-06].

The case, brought in East Texas, was carefully watched by Wall Street analysts who said at the outset that a victory for California-headquartered TiVo might help it win other royalty deals involving DVRs.

A statement from the company says: "This decision recognizes that our intellectual property is valuable and will ensure that moving forward EchoStar and any others that want to use our patented technology will be required to provide us with compensation."

EchoStar, however, is not conceding defeat. Says the Dish Network provider: "We believe the decision will be reversed either through post-trial motions or on appeal."

During the lawsuit TiVo claimed it had shared details of its technology with EchoStar, which later used the knowledge to create its own DVR boxes.

The defendant maintained it came up with its own technology which differed from TiVo's is a number of ways.

TiVo's name has become synonymous in the US with recording, pausing and rewinding live TV but it has never made any money since its inception in 1997. Its machines have been undercut on price by cable and satellite providers.

The company received its patent in 2001 but until now it has been largely unenforced.

Data sourced from latimes.com; additional content by WARC staff