Why do we pay Directv a fee for Tivo?

Discussion in 'DirecTV TiVo Powered PVRs & Receivers' started by Thomas Reynolds, Aug 5, 2006.

  1. Aug 5, 2006 #1 of 15
    Thomas Reynolds

    Thomas Reynolds New Member

    Dec 29, 2003


    Ok first of all I have been a Directv subscriber for years. I've been a Directivo (SD-DVR40) subscriber for over 2 years.

    My question is this: Why do we pay a fee for Tivo services? Let me explain...

    Regular Tivo users pay because they want to receive a viewing guide for their Cable provider. If you stop paying the fee, then you no longer will get a guide but you can still record live video, xbox, psx, or whatever you feed through it.

    WE get our guide from satellite REGARDLESS if it's a DVR or NOT. They have all but stopped supporting our units with going with their own in house brand so we can't expect new features and new firmware builds in the future can we? Realistically we can't expect them to. So the fee doesn't go for that.

    We did LOSE some things. I loved the Tivolution magazine. It was a great categorized way to find current movies on for the month and other neat things. That was gone long ago. I would pay a few bucks OVER the normal fee just to have that back and JUST for that alone.

    Instead we still have those corny downloaded advertisements for consumer products and movies. This just generates more revenue which could completely ELIMINATE those fees, as regular non-DVR customers don't see them at all, only us.

  2. Aug 5, 2006 #2 of 15

    rminsk TiVoted TiVo User

    Jun 4, 2002
    Marina del...
    I have been wondering what the fee is for myself for a long time and have asked the question in the past. The only added cost DirecTV could incur would be the weekly TiVo call. The call goes to a local ISP. Typically UUNET in one form or another. DirecTV has the opportunity to make money off the anonymous viewing data that is sent to them but I do not know if it offsets the cost of the ISP. The cost of the ISP should be minimal.

    Why did the fees just go up this year for a DVR? What cost increased on the DirecTV side that is directly related to a DVR that justified the increased rate?

    Luckly I have lifetime and do not pay a fee.
  3. Aug 5, 2006 #3 of 15

    ttodd1 Proud Computer Geek

    Nov 5, 2003
    I like the lower fee (compared to the SAs) and I've modded my DTivos to do what I want/don't get from DTV. In short, I feel I have lost nothing but gained alot.
  4. Aug 5, 2006 #4 of 15

    jonbig New Member

    Sep 22, 2003
    TiVo almost certainly charges DirectTV a royalty for each box, as well as for third level support. Some of the monthly charge would go to these items.
  5. Aug 5, 2006 #5 of 15
    Boston Fan

    Boston Fan Active Member

    Feb 7, 2006
    Eastern PA


    They charge a fee and we pay it because they are making available a service we want.

    What costs they bear relative to that service is irrelevant. The service provided is in demand, and the price they are charging is clearly within the bounds of market demand - or else none of us would purchase it :).
  6. Aug 5, 2006 #6 of 15

    dtremain New Member

    Jan 4, 2004
    New Jersey
    You beat me to it. It is a fair and competitive fee for a service provided. You are free not to pay the fee. They will stop providing you with the service.

    Either way, everybody's happy.
  7. Aug 5, 2006 #7 of 15

    JimSpence Just hangin'

    Sep 19, 2001
    Binghamton, NY
    And, why do we pay a mirroring fee for each receiver after the first one? :)
  8. Aug 5, 2006 #8 of 15

    mr.unnatural Well-Known Member

    Feb 2, 2006
    Because DTV has to have some method of recouping the expense of the hardware you got for next to nothing. At $4.99 per month it will take DTV a year or more just to break even on the extra receiver.

    Tivo charges DTV for the Tivo service so therefore it gets passed on to the customer. It's the reason DTV decided to start making their own DVRs so as to avoid paying the royalties to Tivo. The agreement DTV had with Tivo was about to expire the beginning of next year but they have renegotiated the agreement for another three years in exchange for Tivo not suing DTV for copyright infringements. The Tivo service with regards to a DTivo enables the Tivo features to work, such as season passes and recording functionality. Without the DVR service you can use the box as a regular receiver but you won't be able to record anything.
  9. Aug 5, 2006 #9 of 15

    JimSpence Just hangin'

    Sep 19, 2001
    Binghamton, NY
    I was asking this theoretically and sarcastically. :)
  10. redondoman

    redondoman New Member

    Dec 1, 2002
    The question will be moot in about 5 years when IPTV or its competition takes over the tube.
  11. Billy66

    Billy66 Again with shoelaces

    Dec 15, 2003
    Here's an idea. Go back to watching live TV for 2 weeks and then come back to this thread and tell us if you will then *choose* the fee as reasonable for what you get.
  12. Ilovetorecord2

    Ilovetorecord2 New Member

    Mar 21, 2000
    South San...
    I thought that there was a small fee for the satellite receivers and remotes which was about $2 or $3 for each one (been so long since I have had one I don't remember).

    That being said, a regular receiver does not do much except that you have the opportunity to have several favorite channel lineups.

    Haivng started out with regular tivos a few years back and the directivos have two lines in comparing that to the regular tivo cost pus the fact that the regular tivos have 4 types of record quality compared to directivos. Darn, that is one sweet deal.

    I made the mistake of getting a tivo dvd recorder and have directv had a bit of a problem with recording as I had to use regular tv and could not get anything recorder on a dvd to my liking. The low quality was terrrible to me because I have a standaline dvd recorder with a hard drive (toshiba) that I can put 8 hrs on a dvd and still like the picture compared to the tivo dvd recorder.

    I am not sure I like the direction directv is going either as I like access to my recordings so I can watch them and back them up doing nothing that is illegal.

    I use to before tivo record on to 2 vcr recorders (that is an antique word) because I did not like to watch live tv before tivo.
  13. Thomas Reynolds

    Thomas Reynolds New Member

    Dec 29, 2003
    No need to get all crazy there. I just wanted an explaination. I got it from others above. But, I will NEVER just sit back and not question what fees are for, whether it be at the bank, paying a utility bill, telephone bill, or anything else for that matter. Consumers get taken advantage of every day. Customers have to keep them in line.

    While the fee may be little for each of us, it's in the thousands if not millions for them, and reoccuring automatically, monthly.

    Thanks for the comments guys, I'm satisfied.
  14. Billy66

    Billy66 Again with shoelaces

    Dec 15, 2003
    Yep, that's their business. Find something that people will pay for and provide it to them at a profit. Question fees all you like, but if what is provided far outweighs the fee (as is the case here), then what's the point?
  15. classicsat

    classicsat Astute User

    Feb 18, 2004
    Ontario Canada.

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