Tivo And Blockbuster Inc. Form Alliance

TiVo, Inc., (NASDAQ: TIVO) the creator of personal television, and Blockbuster Inc. (NYSE: BBI), the world's largest provider of rentable home entertainment, have announced an alliance to expand Blockbuster's traditional video rental business to an entertainment service delivered through TiVo. The companies will work together to develop and deploy a video on demand like service that will enable TiVo subscribers to obtain a selection of movies for viewing through their TiVo receivers. The companies will work together toward deployment of the service in the coming year.The TiVo/Blockbuster alliance also includes cross-promotional opportunities that will benefit each company's customers. Using the TiVo Personal TV service, Blockbuster may, provide information on products, promotions and upcoming video releases available through its stores as well as running trailers for movies available through the TiVo system. Consumers will eventually have the opportunity to reserve movies for pick-up at Blockbuster stores or for viewing through their TiVo receivers.TiVo will have the opportunity to promote special offers on TiVo receivers and TiVo Services to Blockbuster members, which currently includes a total of over 85 million active member accounts worldwide. Additionally, TiVo will receive promotional opportunities in the almost 4,000 corporate Blockbuster stores in the U.S., through signage, demonstration kiosks or other activities.""TiVo has partnered with the leading companies in home entertainment, and this alliance, with the world's leading retailer of home video, DVDs and video games, is another step toward providing our customers with control over how, when and what they watch on TV."" said Morgan Guenther, TiVo's Vice President of Business Development.""Our goal at Blockbuster is to provide quality movies conveniently to people at home whether it's from our retail store base or through exciting new technologies like TiVo,"" said Santo Politi, Blockbuster President, New Media Group. ""We are looking forward to working with TiVo to deploy this video on demand service and to giving TiVo customers more choice and more control to watch what they want, when they want it.""""TiVo is designed to provide multiple services to consumers,"" continued Guenther. ""The Blockbuster service is one of the premier entertainment services that will potentially provide content and commerce services to TiVo subscribers.""About Blockbuster Inc.Blockbuster Inc. is a publicly traded subsidiary of Viacom Inc. and is the world's leading renter of videos and video games with approximately 6,900 stores in the United States, its territories and 26 other countries. The company may be accessed internationally at blockbuster.com. Viacom Inc. is one of the world's largest entertainment companies and a leading force in nearly every segment of the international media marketplace.About TiVoTiVo 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 line-up for viewing at anytime. With TiVo's Thumbs Up Thumbs Down 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. TiVo-enabled stand-alone personal video recorders are available from Philips today 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. Founded in August 1997 and headquartered in Sunnyvale, California, TiVo is a creator of personal television. TiVo can be reached on the World Wide Web at www.tivo.com.