Appeals Court Finds Echostar in Contempt in TIVO Case

Greg Bimson

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Jan 21, 2004
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As if anything about ReplayTV actually matters about the case at hand, not to mention that most of the so-called facts about ReplayTV appear to be wrong.
 

bobvick

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Dish will pay off TIVO and license the patents. It's inevitable.

They're not going to cut off DVR service. They're not going to replace millions of receivers with new one's in 30 days or whenever the injunction starts. Only option is to pay TIVO off.

The only bad news for all us Dish customers... we're about to get screwed big time with programming fee increases in the next year. On top of what I already got screwed on the new receiver lease fees. :(

I wonder how many of the infringing DVR's are in service? Dish could (although probably not in a month) change out all of the infringing DVR's for ViP series DVR's. This would help speed up the conversion of everything to 8PSK and MPEG-4.
 

David_Levin

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Oct 13, 2003
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Dish will pay off TIVO and license the patents. It's inevitable.

They're not going to cut off DVR service. They're not going to replace millions of receivers with new one's in 30 days or whenever the injunction starts. Only option is to pay TIVO off.

Sure, but they may only have to pay for the infringing units. While they are paying, they can be swapping receivers as fast as the factory can pump them out (they wanted to replace the puppies anyway). They may already have a stockpile on hand.

I wonder if once they start paying we get to find out how many infringing units are left. In any case, in the end, TiVo may not get much (depending on TiVo's efforts to get the Vip boxes added to the ruling).
 

whatchel1

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Sep 30, 2006
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Tivo goons

So, with TIVO stock up and now holding steady for a day at about 17.50, ( heck, I thought it would make it to 18 )did anyone here cash in on this jump? Or, do most of you just watch on the outside while others have cashed in on this legal announcement? Jim Cramer's advice, if you made some on TIVO cash in now and buy Dish stock.

Seriously, I always wonder what the emotional motivation is with many posters here to take a side. Some are rather passionate about it. Are they investors in the companies involved? Or, do they just own the questionable products? If I had to bet on what IS the emotional drive behind some of these followers of a side it is that they love a good fight and just want to cheer on their team, be it because they own the equipment or own stock in the company but bottom line is they just like the fight.

Personally, I am rather neutral because I have made some money on both these companies in the past few years. I did miss this last move with TIVO because my investment cash pile was all tied up in Apple ( which is doing well this week too ) Plus, this didn't really affect my DISH stock I am holding on now.

The one argument I won't buy is that you favor a side because they are right. IMO, there is no right or wrong here. There is only who wins and who loses. I don't think either of the parties are clean and pure. Likewise, I think the patent system has too many flaws as well so there is no right and wrong, just winners and losers. In the end it really is all about money.

Cuz I don't like the TIVO Gestapo & their tactics.
 

whatchel1

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Not really

Anyone can request anything, but E* does NOT have a constitutional right to have the case reheard by the full appellate court. The court of appeals seldomly does so and they could tell E to go pile sand up their collective @$$es. Same goes for the Supremes, you can file there, but by no means do you have a right to have it heard there. Only issues that are of a constitutional nature are usually heard by the Supremes and would love to hear how you think this would qualify as a matter of constitutional law. A stay could be asked for, but since this matter has been litigated and E has already been found in contempt of court, don't hold your breath for one to be issued.


After looking at the ruling, who knows what the court will decide next. All E* DVRs could be turned off. Painting a banana purple does NOT mean its no longer a banana. :D

Doesn't have to be constitutional in nature but usual is. In most cases it is president setting or confirmation of law that's why the supremes would hear it.
 

long_time_DNC

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Agreed. And this is something I have been saying for a long time now. Both companies could be working on something amazing together, instead they waste their resources on this lawsuit which has taken forever.

I understand Charlie believes he is right, but at sometime you need to know when to say when. I believe that time is NOW.

Exactly. You need to know when to back away from the table and cut your losses, but it seems Charlie doesn't take "no" very well as an answer...

There's playing chicken and then there's just plain being suicidal...seems the latter applies to this situation, and it sure didn't have to be this way.
 

MikeinBaja

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Sep 9, 2008
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I wonder how many of the infringing DVR's are in service? Dish could (although probably not in a month) change out all of the infringing DVR's for ViP series DVR's. This would help speed up the conversion of everything to 8PSK and MPEG-4.

Last number I remember reading was 8,000,000 units - could be wrong - but if that's even close that's a MAJOR investment in replacements and you don't do that in a few weeks.

Picture this - Charlie bent square over a barrel - pants down - tivo........
 

whatchel1

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Sep 30, 2006
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Too many

Last number I remember reading was 8,000,000 units - could be wrong - but if that's even close that's a MAJOR investment in replacements and you don't do that in a few weeks.

Picture this - Charlie bent square over a barrel - pants down - tivo........

I saw that somewhere too and said the person thinks it's all the DVR's that have ever been bought or leased from E*. In short they don't know
WTF they are talking about.
 

bobvick

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I believe that the 8,000,000 would be EVERY DVR that either Echostar has ever produced, and or the current number of DVR's that Dish Network has in service. Dish Network has 14,000,000 customers, that would be 57% having a DVR. I am sure that a lot of the customer base still is SD with 301's, 311's and 322's, plus even older receivers.
 

MikeinBaja

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Sep 9, 2008
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I believe that the 8,000,000 would be EVERY DVR that either Echostar has ever produced, and or the current number of DVR's that Dish Network has in service. Dish Network has 14,000,000 customers, that would be 57% having a DVR. I am sure that a lot of the customer base still is SD with 301's, 311's and 322's, plus even older receivers.

Agree with your logic, except I read about folks here who have 4 or more DVRs on their account - so doing straight line math probably wouldn't be very accurate.

That said, the 8,000,000 number does seem high to me, but it wasn't my number to begin with.
 

KAB

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Agree with your logic, except I read about folks here who have 4 or more DVRs on their account - so doing straight line math probably wouldn't be very accurate.

That said, the 8,000,000 number does seem high to me, but it wasn't my number to begin with.

As said before, that number is absurd. It would mean more than half of E* subs have DVR's and non of them would be VIPs.
 

Greg Bimson

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Jan 21, 2004
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Okay, so to put this out of everyone's mind...

TiVo was awarded $103,068,836 in continuing damages during the 20 month stay period, based on a $1.25 royalty rate...

$103,068,836 divided by 20 months is $5,153,442 per month royalties for infringing DVR's.

$5,153,442 divided by the $1.25 royalty rate is 4,122,753 DVR's that are infringing.

That was as of April 18, 2008.

Just over 4 million DVR's are subject to the disable order. That number most likely went down by simple attrition over the past 23 months, but not by a lot.
 

KAB

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Just over 4 million DVR's are subject to the disable order. That number most likely went down by simple attrition over the past 23 months, but not by a lot.
I'd be surprised if it was not significant with all the upgrades to HD in the last two years, not to mention EA replacements.
 
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MikeinBaja

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Sep 9, 2008
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Just over 4 million DVR's are subject to the disable order. That number most likely went down by simple attrition over the past 23 months, but not by a lot.

Even if that is off by a bit (and with attrittion) its gotta be in the 3 million'ish range.

What do you thinh the wholesale price is for a replacement DVR? Let's assume low; say $50 each. That's another $150 million. Cost of this whole deal so far:

- 103M continuing
- 300M judgement (plus interest)
- 150M receiver replacements

Total 553M plus costs and attorney fees. Probably safe to round the whole thing to at least 600M.

600M spent versus the per year in fees they avoided. That's just plain stupid.
 

mike123abc

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Sep 25, 2003
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If you assume 6 years 4 million boxes $1/month TiVo fee = $288 million. In hindsight it would have been better for Dish to have paid to start with if they do not win any appeals of the judgement.

But, one could also look at 8 million boxes if they paid a fee on the VIPs because of a licensing agreement. It would have probably cost them more in the long run if the VIPs are immune to have settled.
 

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