TIVO STRATEGIC ANALYSIS
TiVo Inc., based in Alviso, CA, was incorporated in 1997. The founders, Michael Ramsay and James Barton, initially founded TiVo as a home networking business to offer a plethora of interactive features to consumers within the home. Early venture capitalists joining Ramsay and Barton on this idea honed their business vision and advised TiVo to focus on one household feature first before expanding into a wider variety of applications. They felt as though they could develop a smarter entertainment system at a price consumers could afford. Ramsay and Barton wanted a reliable "Always on" platform to the average household. They had a vision for TiVo devices to record television shows and possibly share photos, music and much more. In 1997, Ramsay and Barton's dream came true (TiVo, 2005 p.1).
Hence, TiVo began developing digital video recorders (DVRs) and the company is now a leading DVR provider of personal television service and also, allows viewers to watch and record desired television programming at their own convenience.
TiVo's latest DVR allows users in the US and UK to digitally record up to 80 hours of TV for a monthly or lifetime subscription fee. The TiVo service also provides viewers with greater control, easier navigation, and a wider range of viewing options when watching television than what was formerly available. TiVo also creates a new platform that enables television programmers, advertisers, and network operators to deliver television programming, advertising, and in-home commerce. Recently, the company introduced a new service, coined the Home Media Option, to allow users to play digital music, video, and show photos stored in PCs. TiVo also unveiled a new TV audience measurement tool that gives broadcasters and advertisers the opportunity to analyze second by second specific viewing patterns of various television programs (Ball State...