TiVo's New Monetization Scheme
TiVo (NASDAQ: TIVO) built its brand on a product that, at the time of its introduction, was revolutionary: the digital video recorder, better known as the DVR. It allowed users to record shows from cable, which they could then watch later at their leisure.
A crucial part of the attraction: DVRs allowed consumers to skip the commercials. Fast-forwarding through ads on recorded shows became the norm for DVR users, which drove big trends in advertising and TV. The "sports bubble" came into being largely because fans like to watch sports live -- making them theoretically "DVR proof" and therefore more valuable to advertisers. Now, TiVo is doing something seemingly contradictory: It's embracing ads.
Image source: Getty Images.
Source Fool.com
