TiVo, Dish Applaud EchoStar Penalty
ALVISO, Calif. (
) --
TiVo
(TIVO) - Get Report
and
Dish Networks
(DISH) - Get Report
both claim victories in the wake of a $200 million penalty awarded to TiVo.
The U.S. District Court, Eastern District of Texas, ruled against
EchoStar
(SATS) - Get Report
over the DVR recording technology used by Dish Networks. The fine targeted contempt violations and attorneys' fees, but the amount was well short of the $900 million TiVo had been seeking.
Shares of both companies jumped 6% Friday in the wake of the decision.
TiVo says the ruling validates its claims over infringement on its DVR technology. EchoStar says the ruling was only a partial win for TiVo, and that overall it supported the satellite shop's contention that it acted in good faith in its effort to devise a work-around technology solution for video recording.
EchoStar says it will prevail on appeal. The TiVo legal case started six years ago, and EchoStar has racked up a legal tab of about $400 million as it fights every step of the legal battle.
Earlier this week, TiVo
took aim at telco TV providers
AT&T
(T) - Get Report
and
Verizon
(VZ) - Get Report
with a lawsuit over its DVR technology.
Written by Scott Moritz in New York.
