Rovi Buys DVR Maker TiVo

Entertainment company maker Rovi acquires DVR STB maker TiVo for $1.1 billion-- creating a single company running under the "iconic TiVo brand" with Rovi CEO Tom Carson as leader.

Rovi stb"Rovi’s acquisition of TiVo, with its innovative products, talented team, and substantial intellectual property portfolio, strengthens Rovi’s position as a global leader in media discovery, metadata, analytics, and IP licensing,” Carson says. “It’s an exciting time as the media and entertainment landscape undergoes a significant evolution.... By working together, Rovi and TiVo will revolutionise how consumers experience media and entertainment and at the same time build value for our stockholders."

The acquisition appears to be actually less about STBs and more about patents. According to the New York Times, Rovi's business in interactive TV guides accounts for less than half of 2015 revenues worth $526 million, with the rest made through the licensing of over 5000 patents. Meanwhile the ailing TiVo holds around 1000 patents covering DVR hardware and software, making it a fairly valuable acquisition.

Go Rovi to Acquire TiVo