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Sleeping with the Enemy

CABLE WORLD STAFF

With so many broadcast and cable companies investing in TiVo Inc. and Replay Networks Inc., the question is: Why? If consumers start skipping every commercial on television, advertisers won't be getting much value for their money. On its face, PVR manufacturers appear to be threats to TV networks.

Discovery, which has invested in TiVo and is involved in discussions with Replay, views PVRs not as a threat to the current ad model, but as an opportunity, according to Charley Humbard, SVP/GM Discovery Digital Networks and Advanced Television. He said PVRs offer viewers the chance to watch nothing but Discovery programming if they want.

"Media is moving toward a more personalized form of delivery," said Humbard. "In doing so, the model will inevitably change." Discovery wants to partner with the leaders in each unique personalized delivery form. "TiVo is very different than World Gate and Wink and Web TV," noted Humbard. "We're trying to not be too redundant in each category. We won't always feel the need to make an investment in the company as much as doing a content branding and marketing deal."

Humbard said Discovery invested in TiVo because it wants to develop the new television/ad model with TiVo rather than being left out of the process.

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