Found this one today. Will the PVR market end up like the net appliance market?
ReplayTV to Cut Staff, Shift Business Plan
By James C. Luh
Personal video recording company ReplayTV
announced late Monday it will
lay off just under half its staff in a broad restructuring
that will transform the company from a consumer device maker
into a business-to-business technology provider.
The privately held company announced the layoffs and the
departure of its chairman and CEO, Kim LeMasters. Company
founder Anthony Wood will take over LeMasters' role.
LeMasters, a veteran of the television entertainment
business, joined ReplayTV in September 1999.
ReplayTV will no longer manufacture and market personal
video-recorder devices under its own brand. Instead, the
company intends to license its technology to PC, device, and
consumer electronics manufacturers and to service providers
like phone companies and cable and satellite operators.
ReplayTV said it will sell services to business customers
and will also continue to run its service on behalf of
current ReplayTV subscribers.
A spokeswoman for TiVo, ReplayTV's
closest competitor, said TiVo is examining business-to-
business market opportunities but intends to continue with
its consumer-focused strategy. This summer, America Online
invested $200 million in TiVo and agreed to use TiVo's
technology as it prepares for the launch of its long-
anticipated interactive television service, AOLTV. TiVo will
face competition from Microsoft's forthcoming UltimateTV
ReplayTV's restructuring, the spokeswoman said, leaves TiVo
in a stronger position and doesn't portend misfortune for the
personal video-recorder category as a whole.
TiVo's investors perhaps don't agree. The company's shares
lost almost 9 percent to close at $11.12 on Tuesday.