Independent Study Shows TiVo Service Increases Enjoyment And Changes Peoplesí Attitudes Towards TV

Research Shows 95 Percent Of TiVo Customers Have Significantly Changed TV Viewing Habits

4-May-00

People who subscribe to the TiVo Personal TVô Service (NASDAQ: TIVO) enjoy TV more and channel-surf less than they did before using TiVo. Frank N. Magid Associates, a leading strategic research and consulting firm in the U.S., conducted a study of current TiVo customers. The results show that the TiVo Service significantly transforms television-viewing habits and improves customers' attitudes toward television. The research found that:- An overwhelming majority of respondents feel that the TiVo Service has made TV viewing ""a lot more enjoyable"" (three in four respondents, 72 percent). - TiVo makes the entire spectrum of television programming available. Nearly two of three respondents (59 percent) said they now watch programs that were once unavailable because of inconvenient scheduling. - Because TiVo personalizes TV viewing, respondents report that channel-surfing has decreased dramatically (down 31 percent). - Because there's always something on TiVo, respondents report an increase in the amount of television they watch with six in ten (62 percent) watching television more often with TiVo. - As a result, respondents now see television as their primary source of entertainment (31 percent of the respondents compared with 16 percent before they had TiVo). - TiVo is a product that becomes a part of daily life: 70 percent of the sample group select programs to record everyday. - And what do they record? Kids programming and dramas were the most recorded programs with the sample group with sitcoms following closely.The study also suggested that advertising could potentially be impacted by viewers who fast-forward through commercials in recorded programs. While conducting the research Magid found that when it comes to advertising, TV viewers tend to be a volatile group overall. However, viewers stated that they may be more willing to turn to ads within a TiVo context when they view an advertisement that is relevant to them or that they find entertaining. About TiVo Founded in August 1997 and headquartered in San Jose, California, TiVo is a creator of personal television. TiVo can be reached on the World Wide Web at www.tivo.com. TiVo is the creator of personal television. The TiVo Service lets consumers take control of their television viewing by allowing them to watch what they want, when they want it. As part of TiVo's easy-to-use service and unique technology, viewers can time-shift their favorite television shows and create a customized television lineup for viewing at anytime. With TiVo's Thumbs Upô Thumbs Downô buttons, viewers can teach TiVo what shows they like and dislike. Using these preferences, TiVo automatically records programs the viewer may want to see. TiVo also enables consumers to pause, rewind, instant replay and playback in slow motion any live television broadcast. In addition, TiVo has developed a technology that serves as a platform for new and interactive entertainment content and services. To ensure viewer privacy, TiVo has established strict policies to help protect the personal information of consumers, while providing a valuable personalized TV experience.Pricing And Availability TiVo offers customers a choice in service options. A lifetime subscription to the TiVo service with no monthly fees can be purchased with a single payment of $199. For customers who want to keep their up front costs to a minimum, Personal TV is available as a monthly subscription to the TiVo service for $9.95. TiVo offers a flexible personal television service with the choice to pay as you go or no monthly fees. The TiVo Service is currently available on stand-alone personal video recorders from Philips for $299 and can be purchased at retail outlets nationwide including, Best Buy, Circuit City and Sears or online at Amazon.com, ROXY.com or 800.com.