Jim Stroud, an interactive TV analyst for the Carmel Group, said TiVo grasped this instantly. Shannon says ReplayTV is ready to start over, after shedding its costly hardware and laying off 120 employees. It has enough money to sustain the company, as it pursues licensing deals. TiVo hopes to make money on its subscription model. In addition to its basic service, TiVo plans to introduce advanced features, including premium content, more sophisticated search features and program guides and interactive TV ads.
Some analysts remain skeptical.
Others may reap the benefit.