▼ Scroll to Site ▼

TiVo Buying Digitalsmiths for $135M in Cash, Looks to the Cloud

Article Featured Image

Despite competition from low-cost set-top boxes, TiVo has been making some impressive moves, the latest of which is the acquisition of video metadata company Digitalsmiths. TiVo will pay $135 million in cash for the company, and expects the deal to close in the first quarter of Fiscal 2015.

The purchase shows that TiVo is thinking beyond the box and has plans to grow into a cloud-based service, where it sees significant expansion possibilities. Digitalsmith metadata powers search and recommendation tools for personalized content discovery.

TiVo will use Digitalsmiths' intellectual property to create new cloud-based commercial services, says TiVo CEO and president Tom Rogers, which work both with and without TiVo's successful user interface. Just as valuable is Digitalsmiths' relationship with seven of the top ten U.S. pay TV providers and many tier one service providers. Through its relationships, Digitalsmiths recommendations can reach 64 percent of the country, he notes. Its metadata is used on Roku, Xbox, PlayStation, Kindle, iOS, and Android devices.

Digitalsmiths has been on a growth streak, handling nearly 150 million transactions in December, 2013, up from 90 million in July, 2013.

TiVo also announced that it has increased its stock repurchase authorization by $100 million, and will repurchase $100 million in the first quarter of Fiscal 2015.

Streaming Covers
Free
for qualified subscribers
Subscribe Now Current Issue Past Issues
Related Articles

63% of Consumers Aware of OTT Skinny Bundles: Digitalsmiths

While the online video industry is buzzing about streaming pay TV alternatives, many consumers don't yet know they exist.

57% of Cable Customers Also Use SVOD Service, Finds Digitalsmiths

Streaming use is high: Over 9 in 10 SVOD subscribers user their accounts weekly, with a third watching between 1 and 5 hours of video.

82% of Viewers Want A La Carte Pay TV Options: Digitalsmiths

Many pay TV customers are dissatisfied and overwhelmed. Offering smaller, tailored options could help cable and satellite compete.

TiVo Acquires International Pay TV Service Provider Cubiware

The outlook is sunny for TiVo, which is gaining customers, expanding with international services, and planning an Aereo-like offering.

Pay TV VOD Usage Is Growing, But Not as Quickly as SVOD Services

In its latest quarterly report on the pay TV industry and online viewing, Digitalsmiths finds that large channel lineups can be a liability.

TiVo Launches Over-the-Air DVR for Households Without Pay TV

Pitching it as a legal alternative to Aereo, TiVo debuts a $50 DVR for over-the-air content. Owners can stream video to mobile devices with the TiVo Stream

Video Apps Need to Be Discoverable Before They Can Succeed: TiVo

Content owners can have attractive apps with libraries of popular shows, but if viewers can't search that content then all their efforts won't pay off.

Digitalsmiths Report Highlights Challenges for Pay TV Industry

Viewers continue to embrace subscription VOD services over cable and satellite, and many consider cutting the cord.

TiVo Roamio Now Streams Video Outside the Home

Thanks to an iOS app and a software update, Roamio owners can now watch live or recorded content from their mobile devices.

Zeebox Offers Video Recommendations Powered by Digitalsmiths

Recommendations let Zeebox users on any platform discover relevant content quickly, without a lot of scrolling.