# DirecTV buys ReplayTV from DNNA



## dstoffa (Dec 14, 2005)

This just in.

DNNA divested iteself of ReplayTV and sold it to DirecTV.
Guide data to continue.

What does this mean?
Stay tuned....


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## ZeoTiVo (Jan 2, 2004)

here is a link for those that like to see the actual story
http://www.zatznotfunny.com/2007-12/directv-buys-replaytv-huh/

which was picked up by

http://www.engadget.com/2007/12/13/replaytv-changes-hands-again-acquired-by-directv/

I think they like how strong the patents seem to be and the IP from ReplayTV can take them beyond the 2010 agreement DirectTV has with TiVo.


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## Enrique (May 15, 2006)

Best thing they could have done(other then buying Tivo), If you can't buy Tivo then buy the next best thing which in the case is ReplayTV.


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## HiDefGator (Oct 12, 2004)

Enrique said:


> Best thing they could have done(other then buying Tivo), If you can't buy Tivo then buy the next best thing which in the case is ReplayTV.


You do realize this was the end of the line for Replay TV DVR's and software right? Directv only wanted them for the patents they hold against Tivo. This will keep Tivo out of Directv's pockets in the future.


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## Enrique (May 15, 2006)

HiDefGator said:


> You do realize this was the end of the line for Replay TV DVR's and software right? Directv only wanted them for the patents they hold against Tivo. This will keep Tivo out of Directv's pockets in the future.


Which is what I was saying ,If you can't get at Tivos patents get at someones you can. This was a very good move for DIRECTV maybe not the Subs of both companies but keeps Directv from getting sued to Hell and back(which is good for Directv subs), But you never know what they are going to do so I am there smart about this.


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## JYoung (Jan 16, 2002)

HiDefGator said:


> You do realize this was the end of the line for Replay TV DVR's and software right? Directv only wanted them for the patents they hold against Tivo. This will keep Tivo out of Directv's pockets in the future.


At least one person in the Replay forum disagrees with you.

(And reading the forum there reminds me of why I stopped going there)


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## ZeoTiVo (Jan 2, 2004)

JYoung said:


> At least one person in the Replay forum disagrees with you.
> 
> (And reading the forum there reminds me of why I stopped going there)


Wow, what sheer hope and audacity in the face of reality.


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## Atomike (Jun 12, 2005)

> Wow, what sheer hope and audacity in the face of reality.


Hope, yes. 
However, I'm not convinced this is impossible. You perhaps know some information that everyone else has missed? 
There doesn't seem to be any evidence that ReplayTV will be making new boxes, but then again, there is no information that DirectTV will NOT do this.
In summary, there is no reality yet which to face.

Irony: An overly pessimistic post about an overly optimistic post.


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## classicsat (Feb 18, 2004)

It seems, according to the release and that thread and the AVS replay forum, D&M will continue to service existing subscriptions.

IMO, a stretch, the next gen of DirecTV DVR will have some Replay IP in it, if not folded into the current gen, it is just an patent purchase.


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## JYoung (Jan 16, 2002)

Atomike said:


> Hope, yes.
> However, I'm not convinced this is impossible. You perhaps know some information that everyone else has missed?
> There doesn't seem to be any evidence that ReplayTV will be making new boxes, but then again, there is no information that DirectTV will NOT do this.
> In summary, there is no reality yet which to face.
> ...


I'm not sure it's cost effective for DirecTV to try to port over the ReplayTV software to a new DVR box.
The last work that was done on the DVR version was four years ago.

Yes they may have the PC software but when was that last updated as well?

I think that Megazone sums it up pretty well.


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## zalusky (Apr 5, 2002)

JYoung said:


> I'm not sure it's cost effective for DirecTV to try to port over the ReplayTV software to a new DVR box.
> The last work that was done on the DVR version was four years ago.
> 
> Yes they may have the PC software but when was that last updated as well?
> ...


If the patents are that valuable (legally) then why didn't Dish do it a long time ago.


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## ZeoTiVo (Jan 2, 2004)

Atomike said:


> Irony: An overly pessimistic post about an overly optimistic post.


It is fun to see you disagree with me when you are so obviously on the wrong track.


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## jmoak (Jun 20, 2000)

ZeoTiVo said:


> Wow, what sheer hope and audacity in the face of reality.


Awww, come on now. This is Directv we're talking about. *Much* stranger things have transpired in that company. And besides, just the thought of it makes some people howl with joy!

A Directv dvr with auto commercial skip, network show sharing and works with DVArchive?

Ok, maybe that's stretching it a bit.


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## HiDefGator (Oct 12, 2004)

zalusky said:


> If the patents are that valuable (legally) then why didn't Dish do it a long time ago.


It was too late for Dish by the time Dish realized they needed it?


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## Test (Dec 8, 2004)

JYoung said:


> I think that Megazone sums it up pretty well.


I would love to read that, but it is making my eyes bleed.


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## aadam101 (Jul 15, 2002)

ReplayTV is like the bastard red-headed step child that nobody wants. They have been bought and sold like 10 times!


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## JYoung (Jan 16, 2002)

zalusky said:


> If the patents are that valuable (legally) then why didn't Dish do it a long time ago.


They're not that valuable if DirecTV got them for a song.
(Sorry Replay fans.)

Maybe DNNA went to DirecTV first.


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## dstoffa (Dec 14, 2005)

aadam101 said:


> ReplayTV is like the bastard red-headed step child that nobody wants. They have been bought and sold like 10 times!


Maybe, but what if you have a fetish for red-heads?


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## TiVo Troll (Mar 23, 2006)

JYoung said:


> I think that Megazone sums it up pretty well.





Test said:


> I would love to read that, but it is making my eyes bleed.


DirecTV Buys (The Remains of) ReplayTV
Posted Thursday, December 13th, 2007 at 14:36 by MegaZone. Filed under DirecTV, ReplayTV Tags: CES, D&M Holdings, DirecTV, DNNA, ReplayTV, SonicBlue, TiVo

Things like this keep life interesting. I was surprised today to read in Zatz Not Funny that DirecTV has purchased ReplayTV from D&M Holdings, their most recent owner. Well, it is more like the remains of ReplayTV, since they really havent existed as much of an entity for a while now. From the Reuters article:

Japans D&M Holdings Inc said on Thursday it had sold its ReplayTV business, which develops software for digital video recorders, to DirecTV of the United States for an undisclosed sum.

If youve followed the long, sad saga of ReplayTV, this makes their fourth owner. First, they were founded in 1997 as a standalone entity, about the same time as TiVo. They released their first DVR to market shortly after TiVo did, in 1999. Failing to compete successfully, ReplayTV in 2001 was was acquired by SonicBlue. SonicBlue re-invigorated the brand and continued to market RTV DVRs as TiVos primary competition. However, SonicBlue themselves went bankrupt in 2003, and D&M Holdings picked up the Rio and ReplayTV brands at SonicBlues bankruptcy sale for just $36 million.

D&M made Rio and ReplayTV part of Digital Networks North America (DNNA). However, DNNA didnt seem to know what to do with ReplayTV, and they quickly canceled future development of both hardware and software. One final major update, 5.1, was released under DNNA, but promised software updates such as MP3 playback, USB WiFi adapter support, and interoperability between the 4000 and 5000 series units were killed. It was reported that DNNA had dissolved RTVs engineering group, moving some engineers to other brands, such as Escient, while most of the engineers simply moved on to other companies. ReplayTVs last hardware update came with the 5000 series units released under SonicBlue in 2003 (before the bankruptcy), the 5500 series units were the same hardware. And the last major software update, 5.1, was released in October, 2003. There were minor bug fix releases until late 2004, but thats all. In December, 2005 DNNA announced it was pulling out of the DVR market, and focused on simply selling off the existing stock of units, which they accomplished by early 2006.

D&M Holdings sold off Rio in 2005 to Sigmatel, and all theyve done with ReplayTV is to slap the brand name on some new PC DVR software and rebranded hardware. The ReplayTV PC Software completely failed to find a place in the crowded PC DVR market, so it isnt a surprise that D&M would decide to cut their losses. Or, as they spun it:

The company said the sale of ReplayTV would allow it to focus resources on its other businesses, which include high-end audio brands Denon, Marantz and McIntosh.

Basically, going back to the brands they had before they started their ill-fated diversification that included acquiring Rio and ReplayTV.

While the DirecTV acquisition is for an undisclosed sum, seeing as D&M acquired Rio and RTV both for $36 million, when both brands held a lot more value than they do today, Id have to guess DTV picked up RTV for a song.

Dave Zatz got his hands on what appears to be a letter from D&M CEO Eric Evans to the companys employees, and he posted this excerpt:

Today D&M announced that we have sold ReplayTV® to DIRECTV, a US-based satellite television provider. D&M will continue to provide service to the current subscribers for the foreseeable future but will not solicit additional customers. All remaining assets, with the exception of the office space and some furniture, will be assumed by DIRECTV.

So it sounds like the DTV has not acquired the existing ReplayTV subscriber base, which Id presume includes standalone and PC users, but rather D&M has retained those subscribers and will continue to service them (providing guide data, etc). And that they will no solicit new subscribers. To me this implies two things:
1. The ReplayTV PC software is defunct effective immediately. D&M will not be continuing to sell it - no new subscribers - and I dont see it fitting with DirecTVs product line. Also, if DirecTV intended to continue offering the software to new subscribers, it wouldve made more sense for them to acquire the existing customers to provide an installed base to grow from. The fact that DTV wasnt interested in the subscribers combined with D&M not acquiring new subscribers implies, to me, that the product is dead.
2. DirecTV was really only interested in the intellectual property - especially the patents. They dont really care about the products or the service. The products are all defunct now, and the service they left with D&M.

So what does this mean about the rumors of TiVo and DirecTV reuniting once Liberty Media finishes acquiring DTV from News Corp? Possibly nothing. ReplayTV hasnt produced new DVR hardware or software since 2003, and all of the old RTV engineers are reportedly no longer with the company. Even if DTV acquired the PC software development group, developing for the PC and developing for specialized hardware arent the same thing. I dont see DTV forming an in-house DVR group based on the RTV software, let alone the hardware. The hardware is completely obsolete - the design is over 5 years old now. It isnt even useful as a starting point, so just ignore that. The software is over four years old now, which is pretty stale in such a rapidly changing market. It would have to be brought up to date to start, ported to new hardware, and then be modernized with all of the features required to be competitive today, as well as to handle DTVs systems. Thats a lot of work.

And it would be unusual for DTV - theyve always outsourced that kind of work. Even the DirecTV branded set top boxes are produced by other vendors. TiVo has experience writing an OS for DirecTV, and theyve maintained that capability in their code base even since the split. Theyre already working on a new update for DirecTVs existing TiVo-based units for 2008. The relationship is in place, the software is in place, and it wouldnt be hard to produce a new STB based on the TiVo HD for DTV - just as theyre localizing it for Australia and DVB-T.

So why acquire RTV? Patents. As one of the early developers of DVR technology, ReplayTV, like TiVo, has some fundamental patents. Years ago ReplayTV and TiVo even sued each other, and settled out of court with a cross-licensing agreement. That agreement could well have transferred to DTV with the purchase, which would help insulate DirecTV from lawsuits like the one that TiVo has against DISH Network. It would also give DirecTV a better bargaining position in any negotiations with TiVo for future partnership agreements. And it would give DirecTV some capability to go after the competition and their own DVRs for patent infringement.

If my speculation that they picked up RTV for a song is correct, it was likely a very cost effective move on their part. (It kind of makes me wonder why TiVo didnt snap up RTV for themselves, to consolidate their portfolio.)

I dont expect to see a rebirth of ReplayTV out of this. I plan to ask some questions of DTV at CES next month, but I suspect that this purchase was all about the intellectual property and not at all about the software itself. I guess well see if Im right in time.

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One Response to DirecTV Buys (The Remains of) ReplayTV
pog Says:

December 14th, 2007 at 01:41 
Youre very wrong to boldly insist that RTVs software is stale and that it needs to be modernized with all of the features required to be competitive today. The software is so good, its better than anything Tivo has ever created. I could list you a plethora of features that RTVs 5 year old software offers that Tivo in all this time hasnt figured out.

To name a few:

- Commercial skip
- Unlimited buffer
- Recording from other sources (VCR, DVD, unlisted channels, etc)
- Line 1, Line 2, RF3 input
- Better audio/video quality all around - especially on lower settings

The ONLY advantage Tivo has is the ability to record within the buffer. Multi-tuners and HD are features that RTV would have easily added had they still been around.

Tivo is DVR for dummies. Click and record. RTVs rich features was its downfall in a dumb consumer market that couldnt even figure out how to set VCR timers.

RTVs 5 year old software is better than Tivos ever was or is.


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## milominderbinder (Dec 18, 2006)

TVPredictions says it so it must be true:

http://www.tvpredictions.com/dreplay121307.htm

"_The ReplayTV acquisition also could suggest that DIRECTV has no plans to resume its marketing relationship with TiVo, which also first launched a DVR in 1997.

"The companies severed their marketing agreement a few years ago, although TiVo still provides service to existing DIRECTV-TiVo set-top owners._"

- Craig


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## mattack (Apr 9, 2001)

..but isn't there a direcTivo software update planned? or did that already happen? I thought that was leaked a few months ago.


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## nrc (Nov 17, 1999)

A minor update is planned. DirecTV has a contract to pay TiVo for support and updates until February 2010. They have to pay a certain amount for software updates whether they get them or not. It seems likely they're just trying to get some value from what they have to pay anyway.


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## CuriousMark (Jan 13, 2005)

I noted a small note in one of the wire service articles on this that DTV has extended their deail with NDS until 2013. I think that deal may reduce the chances for a new DirecTiVo. This may be old news to some, but this was the first time I saw it.


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## dmdeane (Apr 17, 2000)

I've always wondered why TiVo didn't buy ReplayTV simply to get the patents and thus strengthen their position. Granted TiVo may not have had a lot of spare cash for this kind of acquisition, but by the time DirecTV purchased ReplayTV, the asking price should have been well within TiVo's means.


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## dmdeane (Apr 17, 2000)

I liked MegaZone's response to this typical ReplayTV-dead-ender (not you, TiVo Troll, rather the pog guy on MegaZone's site):

http://www.tivolovers.com/2007/12/13/directv-buys-the-remains-of-replaytv/


> TiVo Troll said:
> 
> 
> > One Response to "DirecTV Buys (The Remains of) ReplayTV"
> ...


ReplayTV is dead, Jim. Has been dead for many years now. This is just an acquisition for patents and other intellectual property rights; it is the only thing left from ReplayTV that is worth anything.


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## dmdeane (Apr 17, 2000)

CuriousMark said:


> I noted a small note in one of the wire service articles on this that DTV has extended their deail with NDS until 2013. I think that deal may reduce the chances for a new DirecTiVo. This may be old news to some, but this was the first time I saw it.


Is their deal with NDS an exclusive deal? It's not like DTV hasn't had more than one DVR provider at a time before.


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## nrc (Nov 17, 1999)

dmdeane said:


> Is their deal with NDS an exclusive deal? It's not like DTV hasn't had more than one DVR provider at a time before.


I suspect that their deal with NDS is just like their deal with TiVo - just making sure that they'll have support for their existing platforms going forward.


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## jmoak (Jun 20, 2000)

NDS does Directv's conditional access. (cards and signal security)

http://www.satellitetoday.com/st/headlines/21672.html


> NDS and DirecTV have extended their contract for NDS to deliver conditional access technology and services to DirecTV U.S. and Latin America until June 2013, NDS announced Dec. 5.
> "NDS has consistently provided secure and flexible conditional access technology," Romulo Pontual, CTO of DirecTV, said in a statement. "We have extended the term of our relationship with NDS based on the dependability of NDS conditional access technologies and related services."
> Financial details of the extension were not released.


The r15 is but a "related service".


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## ZeoTiVo (Jan 2, 2004)

dmdeane said:


> I've always wondered why TiVo didn't buy ReplayTV simply to get the patents and thus strengthen their position. Granted TiVo may not have had a lot of spare cash for this kind of acquisition, but by the time DirecTV purchased ReplayTV, the asking price should have been well within TiVo's means.


yep, I think the initial read of this being a patent grab so that DirectTV can go its own royalty free way is the right read. DirecTV has never been interested in the extra features a TiVo could offer and are instead waging a more content for less money fight. The replayTV posters will be a study in Human perseverance.


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## TonyD79 (Jan 4, 2002)

zalusky said:


> If the patents are that valuable (legally) then why didn't Dish do it a long time ago.


Using the word "Dish" and "legally" in the same sentence is just so wrong.

Charlie does what he pleases and waits to see if a lawsuit pends or not.


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## jmoak (Jun 20, 2000)

"Why Did DirecTV Buy ReplayTV?"

http://www.fool.com/investing/general/2007/12/19/why-did-directv-buy-replaytv.aspx


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## Curtis (Dec 2, 2003)

jmoak said:


> "Why Did DirecTV Buy ReplayTV?"
> 
> http://www.fool.com/investing/general/2007/12/19/why-did-directv-buy-replaytv.aspx


There are mistakes in every article that guy writes.

2009? 
No, 2010


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## ZeoTiVo (Jan 2, 2004)

Curtis said:


> There are mistakes in every article that guy writes.
> 
> 2009?
> No, 2010


basically the article said the writer had no idea why


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