Virgin Media now a lost cause for TiVo - HERE IS WHY
VMED + Liberty takes VMED from medium to large MSO.
TiVo has had no real success getting TiVo's in the large MSO's. Rogers has alluded to this by saying how they are targeting small to mid sized MSOs. Charter (another mid-size MSO) was supposed to be the next Virgin Media (VMED). But it has not.
The problem is that large MSO's have their own DVR's. And they also have different issues to deal with in terms of scale and expense structures. They simply cannot compete by paying TiVo to do their DVR development for more $$$.
And TiVo has no deal with Liberty already. So we already know their attitude towards TiVo. Maybe a few years from now TiVo forces a licensing deal through litigation but Virgin's existing base will be switched from TiVo. It really is inevitable.
One analyst mentioned the Virgin deal having minimums. The DTV deal had minimums too, as do all business partnerships. The existing VirginTiVo base should more than cover the minimums. They can do exactly what DirecTV did and let it roll off over time.
History repeats itself. The analysts have this one horribly wrong... they didn't catch the DTV disaster either.
And here is why you are dead wrong.
BSkyB, which is partially owned by News Corp. (NWSA), has 10.7 million subscribers, compared with Virgin Media's 4.9 million. The successful integration of Virgin Media will create a dominant force in the highly lucrative UK pay-TV market. Moreover, the roll out of Liberty Global’s Horizon TV and Virgin Media's popular TiVo Inc.’s (TIVO) next-generation TV platform will drive subscriber growth going forward.