Evolution of a Business Model

News today comes, at CNET, of an agreement between Warner Brothers and Netflix for access to limited theatrical content for a VOD test run (see article). Most importantly, "The downloaded film would then be accessible on TiVo's personal video recorders for viewing on a TV set."

What does this mean? Well, it furthers the speculation that TiVo and Netflix, each searching for ways to expand their product offerings, maintain and grow their customer base and stave off competition from more well funded rivals, are looking to get together.