Netflix, TiVo in Streaming Partnership

TiVo ( TIVO) and Netflix ( NFLX ) have teamed up to provide subscribers with the ability to have movies and TV episodes instantly streamed from Netflix directly to their televisions.

The two companies said they are initiating a test of the new capability Thursday in several thousand U.S. households and expect it to be broadly available in early December. The new service will be offered at no additional charge to customers who subscribe to both services.

Under the partnership, roughly 12,000 movies and TV shows offered through Netflix's streaming service can be streamed directly from Netflix to the TV. Movies streamed from Netflix via specified TiVo DVRs will be done through a wired or wireless broadband connection and a Netflix queue-based user interface.

"Joining forces with Netflix creates the ultimate video on demand service and solidifies TiVo's leading position as the one-box solution for aggregating, searching, and delivering the best content available anywhere right to the TV," said Tom Rogers, president and CEO of TiVo, in a statement Thursday.

TiVo and Netflix announced a similar partnership in 2004, but that deal fizzled because Netflix wasn't able to secure the necessary rights to deliver an attractive selection of movies over the Internet, said Netflix CEO Reed Hastings, the Wall Street Journal reports.

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