NewCardDude
06-07-2004, 02:22 AM
DirecTV's Hartenstein Steps Down From TiVo Board >TIVO
By Ellen Sheng
Of DOW JONES NEWSWIRES
NEW YORK (Dow Jones)--Eddy Hartenstein, vice chairman of DirecTV Group Inc. (DTV), stepped down from TiVo Inc.'s (TIVO) board of directors Friday after an eight-month commitment.
TiVo, one of the original makers of the now popular digital video recorder, gets the bulk of its business from a co-marketing agreement with DirecTV. Since News Corp. (NWS) took over DirecTV late last year, some people have worried that the relationship might be in jeopardy. Hartenstein's membership on the TiVo board was seen as a symbolic gesture solidifying the partnership between TiVo and DirecTV.
TiVo, Alviso, Calif., added 196,000 new users through DirecTV in the first quarter. By contrast, its standalone TiVo-branded product signed on 68,000 new users.
Both DirecTV and TiVo appeared eager Friday to qualm any jitters that Hartenstein's resignation signifies changes in their relationship.
"We look forward to working with him in the future on new initiatives as we continue to grow our relationship with DirecTV," TiVo Chief Executive Mike Ramsay said in a prepared statement. A TiVo spokeswoman declined further comment.
DirecTV said the resignation was part of an effort to reduce "certain external obligations" in order to focus more time on DirecTV.
"While I regret that my other obligations prevent me from fulfilling my duties of a TiVo director, I look forward to continuing the strong business relationship between DirecTV and TiVo," Hartenstein said in prepared remarks.
DirecTV spokesman Bob Marsocci reiterated that the two companies "still have a very strong relationship."
Hartenstein joined the TiVo board last October. He sits on the board at Thomson (TMS) and DirecTV.
In May, DirecTV said it would sell its set-top box manufacturing unit to French consumer electronics maker Thomson for $250 million as part of a strategy to focus more on its satellite TV business. Thomson received antitrust clearance from the Federal Trade Commission for the acquisition Friday.
As part of the deal, Thomson signed a five-year pact to become DirecTV's primary set-top box supplier. Thomson said it will be involved in the development of new boxes and manufacture high-definition and digital video recorder set-top units.
Thomson now makes 20% to 25% of DirecTV's set-top boxes. Once the acquisition closes that figure will increase to over 50%, said a Thomson spokesman. Thomson's DVR set-top boxes to DirecTV use TiVo technology.
Shares of TiVo recently traded at $7.43, a penny higher from their Thursday close. Trading volume was 1 million, compared with average daily volume of 2.9 million shares.
DirecTV's shares were unchanged at $17.30 on volume of 411,900, compared with average daily volume of 2.3 million.
http://sg.biz.yahoo.com/040604/15/3ku28.html
By Ellen Sheng
Of DOW JONES NEWSWIRES
NEW YORK (Dow Jones)--Eddy Hartenstein, vice chairman of DirecTV Group Inc. (DTV), stepped down from TiVo Inc.'s (TIVO) board of directors Friday after an eight-month commitment.
TiVo, one of the original makers of the now popular digital video recorder, gets the bulk of its business from a co-marketing agreement with DirecTV. Since News Corp. (NWS) took over DirecTV late last year, some people have worried that the relationship might be in jeopardy. Hartenstein's membership on the TiVo board was seen as a symbolic gesture solidifying the partnership between TiVo and DirecTV.
TiVo, Alviso, Calif., added 196,000 new users through DirecTV in the first quarter. By contrast, its standalone TiVo-branded product signed on 68,000 new users.
Both DirecTV and TiVo appeared eager Friday to qualm any jitters that Hartenstein's resignation signifies changes in their relationship.
"We look forward to working with him in the future on new initiatives as we continue to grow our relationship with DirecTV," TiVo Chief Executive Mike Ramsay said in a prepared statement. A TiVo spokeswoman declined further comment.
DirecTV said the resignation was part of an effort to reduce "certain external obligations" in order to focus more time on DirecTV.
"While I regret that my other obligations prevent me from fulfilling my duties of a TiVo director, I look forward to continuing the strong business relationship between DirecTV and TiVo," Hartenstein said in prepared remarks.
DirecTV spokesman Bob Marsocci reiterated that the two companies "still have a very strong relationship."
Hartenstein joined the TiVo board last October. He sits on the board at Thomson (TMS) and DirecTV.
In May, DirecTV said it would sell its set-top box manufacturing unit to French consumer electronics maker Thomson for $250 million as part of a strategy to focus more on its satellite TV business. Thomson received antitrust clearance from the Federal Trade Commission for the acquisition Friday.
As part of the deal, Thomson signed a five-year pact to become DirecTV's primary set-top box supplier. Thomson said it will be involved in the development of new boxes and manufacture high-definition and digital video recorder set-top units.
Thomson now makes 20% to 25% of DirecTV's set-top boxes. Once the acquisition closes that figure will increase to over 50%, said a Thomson spokesman. Thomson's DVR set-top boxes to DirecTV use TiVo technology.
Shares of TiVo recently traded at $7.43, a penny higher from their Thursday close. Trading volume was 1 million, compared with average daily volume of 2.9 million shares.
DirecTV's shares were unchanged at $17.30 on volume of 411,900, compared with average daily volume of 2.3 million.
http://sg.biz.yahoo.com/040604/15/3ku28.html