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Tuesday, September 07, 2004

The Slow March Home

Newsweek reported in it's September 13th issue that a partnership deal is all but done between Netflix and TiVo (see article). In a move most people will respond to with "Oh. Yeah!" the two companies are planning to work together to deliver Netflix VOD straight to the home via TiVo boxes and broadband pipes.

Answering the question of what Netflix and TiVo need to do to survive in a world of Blockbuster delivery service, cable VOD offerings and services like Moviebeam and Movielink, this extension of both services might be the competitive spark they need.

TiVo had already been exploring extending its technology through its purchase of Strangeberry -- a company with technology to deliver content to a TiVo box through cable or dsl broadband. A partnership with Netflix provides it with the content source it needs without requiring it to acquire expertise outside of its own areas of expertise.

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