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TiVo has landed yet another cable operator customer with today’s news that it has signed a deal with Cable One to provide its DVR software and multi-screen video applications to the nation’s 10th-largest cable operator.
Cable One will start rolling out its TiVo offering in the first half of next year before making it available to all of its 740,000 customers across 19 states by year’s end.
Going forward, TiVo is now Cable One’s exclusive software provider for all of its new DVRs. Cable One’s subscribers will also be able to take advantage of TiVo’s whole-home and multi-screen suite products to deliver video to various IP-enabled devices within a home.
"The way our subscribers consume video entertainment is rapidly changing, and we focused on a solution that will put an extensive amount of content choice right at the viewers' fingertips in a way that is easy to find and watch – on any screen," said Jerry McKenna, senior vice president and chief sales and marketing officer at Cable One. "Collaborating with TiVo allows us to quickly implement a cost-effective and market-tested offering that immediately gives our subscribers access to the best TV experience on any screen in the home. TiVo's multi-platform solution allows Cable One to simultaneously deliver existing QAM linear and next-generation IP on-demand video experiences, which is one more reason we are extremely excited to team up with TiVo and eager to begin the rollout."
Cable One subscribers will be able to navigate, search and content through TiVo’s whole-home solution that will provide access to Cable One’s linear catalog, recorded programming and IP content (both over-the-top and VOD) to any screen, including DVRs, low-cost IP set-top boxes, tablets and smartphones.
Charter had previously said it planned on offering TiVo’s Premiere service across its footprint this year, but it has backed off of those plans. During its second-quarter earnings call earlier this year, Charter CEO Tom Rutledge said Charter remained committed to using TiVo’s software and planned to deploy its user interface in the cloud for its current and next-generation customer premises equipment.
The BAD!
Cable One has officially spun off from Graham Holdings, with the Phoenix-based MSO's stock spiking as much as 6 percent over issue price during first-day trading on the New York Stock Exchange amid M&A speculation.
"We believe Cable One's single-class share ownership and low telco-based competition make it attractive in an acquisitive environment, and expect investors to put some premium on Cable One shares for its M&A potential," reads a J.P. Morgan investor note.
The spinoff, announced late last year, was completed at midnight on July 1, with Graham shareholders receiving one share of Cable One for every Class A or Class B share of Graham they own. The stock trades under the symbol "CABO."
Trading at $430 a share, Cable One stock is the most expensive in the cable industry, due to the small number of shares issued.
"Cable One is extremely well positioned as an independent company to continue its tradition of excellent returns for its shareholders, rewarding careers for its associates and unusually high satisfaction for its customers," CEO Tom Might said in a statement.
In an investor presentation in June, Might said the company will continue to invest in its growing broadband services businesses, while de-prioritizing its shrinking video services business.
The UGLY!
TiVo Inc. (TIVO)
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