TiVo Takes Hit on DirecTV Report
TiVo
(TIVO) - Get TiVo Corp. Report
was under pressure Thursday after a published report reiterated a major customer's plan to de-emphasize its recording device.
Shares slid 9% on Instinet after Chase Carey, the CEO of
DirecTV
(DTV)
, was quoted by
Reuters
saying the satellite television provider will stop marketing TiVo's recorders this year.
As it has signalled previously, DirecTV will switch to a digital recorder manufactured by
NDS Group
(NNDS)
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, the wire service quoted Carey saying.
News Corp.
(NWS) - Get News Corporation Class B Report
has major stakes in both NDS and DirecTV.
NDS CEO Abe Pelad was quoted by
Dow Jones News Service
on Tuesday saying technology glitches in the DirecTV DVR have been "mostly resolved" and that the device should be ready for release in October.
TiVo was recently down 54 cents to $5.45. The stock has swung wildly this year, adding about 50% in mid-March after announcing a marketing agreement with cable operator
Comcast
(CMCSA) - Get Comcast Corporation Class A Report
.
The shares topped out in late May at $7.75 after First Albany initiated the stock with a strong buy and the company posted a narrower-than-expected first-quarter loss.
