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Well, it seems we finally know why TiVo was waxing poetic about
software in recent months -- it's the way the company primarily plans
to charge for its DVR hardware from now on. Following a week-long
experiment of free-on-contract DVRs conducted last month, TiVo's
opening up subsidized and partially subsidized pricing tiers to the
entire US for those willing to chain themselves to a pricier $20
monthly fee. You can now get a TiVo Premiere for $0 on a two-year
contract or $100 with a one-year arrangement, or pick up a TiVo
Premiere XL for $300 on a one-year deal -- the same price the regular
old 45-hour TiVo Premiere cost originally. TiVo's also kept the
original $12.95-a-month plans around in case you want to pay full
price for your hardware, which would normally make better financial
sense after about three years, if not for the fact that there are
still lifetime subscriptions available for $400 if you're truly in it
for the long haul.
We're all for expanding our buying power in this arena, but there's
one group of customers who are liable to get mighty pissed at the new
arrangement -- the regular Joes and Janes headed to Best Buy right now
to pick up a $99 TiVo Premiere "on sale." You see, retailers
apparently didn't get the memo about the new tiered pricing and are
advertising the arrangement as a $200 discount instead, which leaves
TiVo's fine print the unenviable role of explaining that they're going
to pony up $20 a month from now on. 2.1.2 When purchasing a TiVo
Premiere box from a third party retailer at $99.99 (includes an
instant $200 savings off MSRP) for the TiVo Premiere box or $299.99
(includes an instant $200 savings off MSRP) for the TiVo Premiere XL
box, you may only subscribe to the TiVo Service on a monthly basis for
$19.99 a month with a one (1) year commitment (renews monthly after
one year). Choices, choices.
[Thanks, Daniel and Chris R.]
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